Question

What did NEP focus on?

• A. Create a more competitive environment
• B. Remove barriers to entry
• C. Create employment
• D. Both A and B

Answer 1

Answer: (D)

Both A and B

India agreed to the conditionalities of World Bank and IMF and announced the New Economic Policy (NEP). The NEP consisted of wide ranging economic reforms. The thrust of the policies was towards creating a more competitive

environment in the economy and removing the barriers to entry and growth of firms. Creation of employment was not the objective of NEP.