Question

What changes did the economic reforms of 1991 bring to Indian foreign policy?

• A. There was an increase in trade which led to the growth of economy.
• B. Education and technology also became a part of the foreign policy.
• C. Foreign policy was no longer limited to the political and military realms only.
• D. India was no longer dependent on other countries.

Answer 1

Answer: (A), (B), (C)

The correct options are
A There was an increase in trade which led to the growth of economy.
B Education and technology also became a part of the foreign policy.
C Foreign policy was no longer limited to the political and military realms only.

The economic reforms of 1991 marked the beginning of the second phase of India's foreign policy. India entered into trade relations with several countries, like Thailand, USA, Japan, Israel and others. Moreover, sectors like education, technology, trade and economy also became a part of the foreign policy. Foreign policy was no longer limited to just political and military realms. After 1991, the government controls over the economy were reduced. The government introduced free-market policy. This policy provided less restrictions on import and export. It reduced import duty and promoted foreign investments