India & Neighbours (Nepal, BD, SL) — Set 14
International Relations · भारत और पड़ोसी देश · Questions 131–140 of 140
India-Bhutan economic relations are unique because Bhutan's currency, the Ngultrum, is pegged at par with the Indian Rupee. This means:
Correct Answer: B. 1 Ngultrum = 1 Indian Rupee, both accepted in Bhutan
Bhutan's currency, the Ngultrum (Nu), is pegged at par with the Indian Rupee (1 Nu = 1 INR), and both currencies are freely accepted within Bhutan. This monetary integration reflects the deep economic ties between the two countries. India is Bhutan's largest trading partner, accounting for the vast majority of Bhutan's imports and exports, and the currency peg simplifies cross-border transactions.
Sri Lanka's Tamil political demand, relevant to India's policy, was centred on the creation of a separate state called:
Correct Answer: A. Eelam
Tamil political demands in Sri Lanka culminated in the LTTE's call for an independent state called Tamil Eelam, encompassing the north and east of Sri Lanka. The Vaddukkoddai Resolution of 1976 first formally called for a separate state, but it was the LTTE under Prabhakaran that militarily pursued Eelam from 1983 until its military defeat in May 2009. India's policy supported Tamil rights but opposed the division of Sri Lanka.
The Kailash Mansarovar Yatra route via Lipulekh involves passage through which state of India?
Correct Answer: B. Uttarakhand
The Kailash Mansarovar Yatra (KMY) via the Lipulekh Pass route passes through Uttarakhand, India, before entering Tibet (China). This is one of two traditional Indian routes for the pilgrimage (the other being via Nathu La in Sikkim). The Border Roads Organisation built a motorable road to Lipulekh in 2020 to ease the previously difficult pilgrimage, which triggered the boundary dispute with Nepal.
India has provided which type of lines of credit to Nepal specifically for development projects?
Correct Answer: B. Lines of Credit through EXIM Bank at concessional rates
India provides Lines of Credit (LoC) to Nepal through the Export-Import Bank of India (EXIM Bank) at concessional interest rates for development projects including infrastructure, hydropower, and industrial development. Additionally, India provides grants for some projects. These LoCs are part of India's broader development partnership with Nepal and have financed projects like the Arun III hydropower project and various road and connectivity projects.
Bangladesh's Sheikh Hasina fled to India in August 2024. This event is significant because:
Correct Answer: B. It strained India-Bangladesh relations as Bangladesh's new government sought her return to face charges
Sheikh Hasina's flight to India in August 2024 created diplomatic tension as Bangladesh's new interim government under Muhammad Yunus demanded her extradition to face charges of crimes against humanity during the crackdowns that preceded her ouster. India's hosting of Hasina put it in a difficult position with the new Dhaka government. Managing this sensitive issue became a key challenge in India-Bangladesh relations in late 2024.
The SAARC Secretariat is located in:
Correct Answer: C. Kathmandu, Nepal
The SAARC Secretariat is located in Kathmandu, Nepal, and has been operating there since it was established in 1987, two years after SAARC was founded in Dhaka in 1985. The Secretary-General of SAARC is appointed from member states on a rotational basis. Nepal's role as host of the SAARC Secretariat gives it a central diplomatic position in South Asian regional affairs.
India and Maldives signed a Free Trade Agreement (FTA)-level preferential arrangement? What trade preference does India give Maldives?
Correct Answer: B. Special duty preferences on fish and fish products
India provides special duty preferences including concessional or zero duty on fish and fish products from Maldives, recognising the island nation's primary economic activity. India is one of Maldives' main trading partners for its limited exports. India also provides duty-free access for some Maldivian goods under bilateral preferential arrangements that reflect the asymmetric economic relationship where India gives more than it receives in trade terms.
Nepal's Gorkhaland agitation in India's West Bengal is a sensitive issue in India-Nepal relations because:
Correct Answer: B. Ethnic Gorkhas (Nepali-origin people) in Darjeeling demand a separate state, complicating identity politics
The Gorkhaland agitation in Darjeeling, West Bengal, involves ethnic Gorkhas (people of Nepali origin who are Indian citizens) demanding a separate state or administrative autonomy. This is separate from Nepal-India relations as these are Indian citizens, but the ethnic identity overlap sometimes creates sensitivity. Nepal officially does not support Gorkhaland demands, and India has managed the issue as an internal matter.
Which river, flowing from Nepal into Bihar, has historically caused the most devastating floods in Bihar and is known as the 'Sorrow of Bihar'?
Correct Answer: C. Kosi
The Kosi River, originating in the Himalayas and flowing from Nepal into Bihar, is called the 'Sorrow of Bihar' due to its frequent and devastating floods caused by its constantly shifting course. The river has changed its course eastward by about 120 km over the last 250 years. The 1959 Koshi Agreement between India and Nepal governs the Koshi Barrage management for flood control and irrigation.
India's relationship with its five immediate neighbours (Nepal, Bangladesh, Bhutan, Sri Lanka, Maldives) is guided by which overarching policy framework?
Correct Answer: B. Neighbourhood First Policy
India's relationship with all its immediate neighbours is guided by the 'Neighbourhood First Policy,' formally articulated by the Modi government from 2014. This policy prioritises connectivity, development assistance, people-to-people contacts, and security cooperation with immediate neighbours. It reflects India's recognition that stable, prosperous neighbours are essential for India's own development and security.