Explanation : 

Impact of Currency Devaluation on Domestic Exports

When a country devalues its currency, it can lead to an improvement in the competitiveness of its domestic exports in foreign markets. A cheaper currency means that foreign buyers will find the exports less expensive, potentially increasing demand and export volume.

Effect on Foreign Value of Domestic Currency

Contrary to improving the foreign value, currency devaluation actually decreases the foreign value of the domestic currency. More of the devalued currency is required to purchase the same amount of a foreign currency, thus reducing its value internationally.

Devaluation and Trade Balance

The impact of devaluation on the trade balance is not straightforward. While there is potential for improved export competitiveness, the overall effect on the trade balance, which includes both exports and imports, is uncertain. Factors such as the cost of imports, economic conditions, and trade policies also play significant roles in determining the trade balance outcome.

Explanation : 

Foreign Direct Investment (FDI)

Foreign Direct Investment (FDI) refers to an investment made by a firm or individual in one country into business interests located in another country. It typically involves significant control over the company invested in and is a means to enter foreign markets. FDI is distinguished from Foreign Portfolio Investment (FPI), where investors passively hold securities from a foreign country without actively managing the assets or having control over the businesses.

Options for FDI

Foreign Currency Convertible Bonds (FCCBs): These are a type of convertible bond issued in a currency different than the issuer’s domestic currency. While FCCBs can be converted into equity shares at a later date, they are initially debt investments. If the bonds are converted into shares, the investment can then be considered as FDI because it results in foreign ownership and control in the company.

Foreign Institutional Investment (FII) with certain conditions: FIIs generally involve investing in securities and other financial assets by institutional investors in a country outside of where they are based. This is typically considered FPI. However, if the investment comes with certain conditions such as a strategic stake in the company, board representation, or other forms of control, it can be reclassified as FDI.

Global Depository Receipts (GDRs): GDRs are bank certificates issued in more than one country for shares in a foreign company. The shares are held by a foreign branch of an international bank, and the receipts represent ownership of these shares. GDRs allow investors to hold shares in foreign companies and trade them. When GDRs are converted into shares, the investment is similar to FDI because it results in foreign ownership and potentially control over the company.

Non-Resident External (NRE) Deposits: These are bank accounts that allow non-resident Indians (NRIs) to park their foreign earnings in India. The funds in NRE accounts are held in rupees, and the account is used for facilitating deposit of foreign earnings. This is not considered FDI because it does not lead to control or ownership in an Indian company; it is merely a financial account.

Explanation : 

Factors Influencing Indian Government Bond Yields

Indian Government Bond Yields are influenced by a combination of domestic and international factors, including the actions of central banks and economic conditions such as inflation and interest rates. Here’s an explanation of how each factor influences Indian Government Bond Yields:

Actions of the United States Federal Reserve

The United States Federal Reserve (the Fed) is the central banking system of the United States, and its monetary policy decisions can have a significant impact on global financial markets, including those in India. When the Fed raises interest rates, it can lead to an outflow of capital from emerging markets like India as investors seek higher returns in the US. This can increase the yields on Indian government bonds as prices fall. Conversely, when the Fed cuts rates or engages in accommodative policies, it can lead to inflows into emerging markets, potentially lowering bond yields.

Actions of the Reserve Bank of India

The Reserve Bank of India (RBI) is India’s central bank, and its monetary policy actions directly influence Indian Government Bond Yields. When the RBI raises its key policy rates, it generally leads to higher yields on government bonds, as investors demand higher returns to compensate for the increased cost of borrowing. Conversely, when the RBI cuts rates or signals an accommodative stance, it can lead to lower bond yields.

Inflation and Short-Term Interest Rates

Inflation has a direct impact on bond yields. When inflation is high, investors require higher yields to compensate for the erosion of the purchasing power of their investments. Therefore, rising inflation can lead to higher government bond yields. Similarly, short-term interest rates, which are often influenced by central bank policies, can affect bond yields as they reflect the cost of borrowing money in the economy. Higher short-term rates can lead to higher yields on longer-term government bonds.

Explanation : 

Ishwar Chandra Vidyasagar was the secretary of Bethune school established in 1849 also known as Hindu female school. He was one of the pioneers of higher education for women in India.

Explanation : 

ICC World Test Championship Finalists Selection

The ICC World Test Championship is a league competition for Test cricket run by the International Cricket Council (ICC), which started on 1 August 2019. The championship features nine of the twelve Test-playing nations, each of which plays a Test series against six of the other eight teams. The first edition of the championship concluded with the final in June 2021.

Now, let’s address the statements:

1. Finalists Decided by Match Wins?

This statement is incorrect. The finalists for the ICC World Test Championship were not decided solely by the number of matches they won. Instead, the ranking was based on the percentage of points earned from the matches they played. This points percentage system was introduced after the COVID-19 pandemic disrupted the cricket calendar, leading to the cancellation of several series. Teams were awarded points for wins, draws, and ties, but the final standings were determined by the percentage of points they earned out of the total points available from the matches they actually played.

2. New Zealand’s Ranking Over England

This statement is also incorrect. New Zealand was ranked ahead of England not just because it won more matches, but because it had a higher percentage of points. The ranking was not based on the number of matches won alone but on the points percentage as explained above. New Zealand qualified for the final due to their higher points percentage compared to other teams, including England.

Therefore, the correct answer is “Neither 1 nor 2” because both statements are incorrect based on the methodology used by the ICC to determine the finalists for the World Test Championship.

Explanation : 

Tokyo 2020 Olympics Postponement and Motto

The 32nd Summer Olympics, also known as the Tokyo 2020 Olympics, were held in 2021 due to the postponement caused by the COVID-19 pandemic. The official motto for the Tokyo 2020 Olympics was “United by Emotion,” not “A New World.” Therefore, statement 1 is incorrect.

New Sports at the Tokyo 2020 Olympics

Regarding statement 2, Sport Climbing, Surfing, Skateboarding, and Karate were indeed included in the Tokyo 2020 Olympics as new sports. Baseball, along with its counterpart Softball, also made a return to the Olympics for the first time since 2008. This means that statement 2 is correct.

Explanation : 

Laureus World Sports Award

The Laureus World Sports Awards were established in 2000 to celebrate the achievements of athletes from around the world. These prestigious awards recognize the outstanding sports performances of the year and have a rich history of winners from various sports disciplines.

Notable Laureus Award Winners

American golfer Tiger Woods was the first winner of this award, setting a high standard for future recipients. The award has not been received mostly by ‘Formula One’ players, as athletes from a multitude of sports have been honored. Tennis legend Roger Federer stands out for receiving this award the maximum number of times, showcasing his exceptional talent and contribution to the sport.

Explanation : 

Hyderabad’s Recognition as a 2020 Tree City of the World

Statement 1 is incorrect because Hyderabad was indeed recognized as a 2020 Tree City of the World. The recognition is given by the Arbor Day Foundation and the Food and Agriculture Organization (FAO) of the United Nations, not the United Nations Capital Development Fund (UNCDF). The Tree Cities of the World program is designed to recognize cities around the globe that are committed to ensuring that their urban forests and trees are properly maintained, sustainably managed, and duly celebrated.

Why Hyderabad Received the Recognition

Statement 2 is correct as well because Hyderabad was selected for the recognition due to its commitment to growing and maintaining urban forests. The city has made efforts to increase its green cover as part of urban development planning and has taken initiatives to protect and develop urban forests.

Explanation : 

Bharat Ratna and Padma Awards

The Indian Constitution and its provisions regarding titles and awards are often misunderstood. A common misconception is that the Bharat Ratna and Padma Awards are titles under Article 18(1). However, this is not the case, as Article 18(1) specifically prohibits the state from conferring titles other than those that are military or academic in nature. The Bharat Ratna and Padma Awards are, in fact, civilian awards given by the President of India to individuals for their exceptional service to the nation and do not fall under the purview of this article.

History of the Padma Awards

The Padma Awards, established in 1954, have a history of being suspended, contrary to the belief that they were suspended only once. In reality, these prestigious awards have been withheld twice in Indian history. The first suspension occurred from July 1977 to January 1980, and the second from 1992 to 1995, reflecting periods of reconsideration and review of the awarding process.

Bharat Ratna Award Limitations

Another common misconception is regarding the number of Bharat Ratna Awards that can be conferred in a single year. It is often thought that there is a cap of five awards per year. However, there is no official limit to the number of Bharat Ratna recipients in a given year. While the practice has been to award a very small number annually, typically not exceeding three, this is not a mandated restriction.

Source:-Bharat Ratna – Wikipedia

Explanation : 

Tribal Languages – Halbi, Ho and Kui

The terms ‘Halbi, Ho, and Kui‘ pertain to tribal languages spoken by indigenous communities in India. These languages are not associated with dance forms, musical instruments, or pre-historic cave paintings. Here is a brief explanation of each language:

Halbi Language

Halbi is an Indo-Aryan language spoken predominantly in the Bastar region of Chhattisgarh, along with some regions of Maharashtra, Odisha, and Andhra Pradesh. It is one of the 42 scheduled tribal languages of India and serves as a lingua franca among various tribes in the Bastar area.

Ho Language

Ho is an Austroasiatic language spoken primarily by the Ho people of the Indian states of Jharkhand and Odisha, with smaller populations in West Bengal, Chhattisgarh, and Assam. It belongs to the Munda family of languages and is written in the Warang Citi script, although Devanagari and Roman scripts are also used.

Kui Language

Kui is a Dravidian language spoken by the Kondh people (also known as Kandha, Khond, or Khondh) in Odisha and Andhra Pradesh. It is closely related to the Kuvi language and has a significant number of speakers, making it one of the more widely spoken tribal languages in Odisha.