If the convertibility of the currency is restricted to certain foreign currency transactions, it is termed as _______________.

Full convertibiltity

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Partial convertibility

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

Current account convertibility

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Capital account convertibility

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Both (A) and (C) above

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is A Partial convertibility
Convertibility means that a foreign currency can be converted into domestic currency and vice versa without any restrictions. If the convertibility is restricted to certain foreign currencies transactions and/or people, it is termed as partial convertibiltiy.

Suggest Corrections

Similar questions

State any two factors that explain expansion of demand for a foreign currency in response to a fall in its price (in terms of the domestic currency).

Join BYJU'S Learning Program