One major government initiative to attract foreign companies to invest in India is:

to raise the standard of education

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

to promote unemployment in the public sector

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

to build special economic zones

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

both (a) and (c)

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

Open in App

Solution

The correct option is C
to build special economic zones

One major government initiative to attract foreign companies to invest in India is to build special economic zones. A special economic zone (SEZ) is an area in which business and trade laws are different from the rest of the country. SEZs are located within a country's national borders, and their aims include: increased trade, increased investment, job creation and effective administration.

Suggest Corrections

Similar questions

Q. Very often we read about Special economic Zones (SEZs) in newspapers. What is the purpose of promoting SEZs in lndia?
A. They are established to promote exports.
B. They are established to attract investments from foreign countries.
C. They are established to help the poorest of the poor in India as the activities of these zones are reserved only for the poors and those living below poverty line.

Q. The National Development Fund was created by the Government of India a few years ago. What was the purpose of the fund?
(A) To boost investment in social sector projects to promote education, healthcare, and employment.
(B) To make capital investments in selected profitable PSEs to yield adequate returns.
(C) To fund revision in the pay structure of Central Government employees.

Q2. Which of the following steps have been taken by government to attract foreign investment?

1. Establishing Special Economic Zones (SEZs)

2. Making labour laws flexible

3. Curbing trade barriers

4. Granting compulsory licensing

Q. We very frequently read about Special Economic Zones (SEZs) in newspapers. These SEZs were established with which of the following objectives?
A. To attract foreign investment directly.
B. To protect domestic market from direct competition from multinationals.
C. To provide more capital to agricultural and allied activities.

Pick the error from the following news clipping:

Apart from being a critical driver of economic growth, foreign direct investment (FDI) is a major source of non-debt financial resource for the economic development of India. Foreign companies invest in India to take advantage of relatively lower wages, special investment privileges such as tax exemptions, etc. For a country where foreign investments are being made, it also means achieving technical know-how and generating employment. The top five sector wise FDI inflows would include telecom, transport, defense, computers and trading.

Join BYJU'S Learning Program