Ramesh Singh Test : Services Sector - UPSC MCQ

1. Government e-Marketplace (GeM) - Achieved an annual procurement of ₹1 lakh crore within 2021-22: Correct. The GeM indeed achieved this milestone in the mentioned period.

2. Bain & Company's report "How India Shops Online 2022" - Projects India’s e-commerce market to grow at 18% annually through 2025: Incorrect. This projection was made by the Global Payments Report by Worldpay FIS, not Bain & Company.

3. Digital Document Execution (DDE) platform - Launched in 2020-21: Correct. The DDE platform was indeed launched in the 2020-21 period.

4. Neobanks - Expanded due to the demand for financial solutions among young and digitally savvy customers: Correct. Neobanks have expanded rapidly due to on-demand and easier-to-access financial solutions, particularly among the younger, digitally savvy demographic.

Thus, pairs 1, 3, and 4 are correctly matched, while pair 2 is incorrectly matched.

1. India was the 7th largest recipient of FDI among the top 20 host countries in 2021: This statement is correct. According to the World Investment Report 2022 by UNCTAD, India was indeed the 7th largest recipient of FDI in 2021, with the highest-ever inflows of US$ 84.8 billion in 2021-22.

2. The Covid-19 pandemic led to a 32% decline in Tourism Direct Gross Value Added (TDGVA) in 2020-21: This statement is correct. A study by the Ministry of Tourism in collaboration with NCAER revealed this significant decline in TDGVA due to the pandemic.

3. The Wholesale Price Index (WPI) for 'cement, lime, and plaster' increased from 127.1 in December 2021 to 137.6 by December 2022: This statement is correct. The data indicates a rise in the WPI for these materials during the specified period, reflecting increased costs.

All three statements are accurate based on the provided information, thus, the correct answer is Option D

1. India's services exports growth in April-December 2022: 27.7% - Correct. The data provided indicates that services exports grew by 27.7% during this period.

2. India's rank in Medical Tourism Index 2021: 10th - Correct. The information confirms that India was ranked 10th in the Medical Tourism Index 2021.

3. Real estate sector inventory overhang decrease from previous year: 33 months - Incorrect. The inventory overhang decreased to 33 months from 44 months in the previous year, not just a decrease to 33 months.

4. Hotel occupancy in India in 2021: 50-55% - Incorrect. Hotel occupancy in India recovered to 42-45% in 2021, not 50-55%.

Thus, only pairs 1 and 2 are correctly matched.

1. Statement 1: This statement is correct. The Government e-Marketplace (GeM) indeed achieved an annual procurement of ₹1 lakh crore within 2021-22, marking a significant 160% growth over the previous year. This growth was substantial and indicative of the platform's increasing adoption and effectiveness in public procurement.

2. Statement 2: This statement is also correct. The launch of ONDC (Open Network for Digital Commerce) played a crucial role in democratizing digital payments, enabling interoperability, and reducing transaction costs. By providing better market access to sellers, including those from the remotest corners of the country, ONDC aims to integrate these sellers into the e-commerce framework.

3. Statement 3: This statement is incorrect. According to the Indian Institute of Foreign Trade (IIFT), MSMEs opting for e-commerce and e-procurement experienced a 100% increase in revenues and margins, not 69.4%. The 69.4% figure pertains to the overall growth in e-commerce order volume in 2021-22 as reported by the Retail and E-commerce Trends Report 2022 by Unicommerce and Wazir Advisors.

Therefore, the correct answer is Option B: 1 and 2 Only.

According to NASSCOM's Annual Report-2022, a significant development in the IT-BPM sector was the exceptional revenue growth during 2021-22. This growth was propelled by increased technology spending, accelerated technology adoption, and robust digital transformation efforts. The sector demonstrated resilience during the pandemic by swiftly adopting remote working on a large scale, showcasing adaptability and a strong foundation for future readiness.

1. The IT-BPM sector recorded a revenue growth of 15.5% during 2021-22.

- This statement is correctly matched. The IT-BPM sector did experience a revenue growth of 15.5% during 2021-22.

2. The capacity of major ports increased to 1534.9 MTPA by March 2021.

- This statement is incorrectly matched. The capacity increased to 1534.9 MTPA by March 2022, not March 2021.

3. Cargo movement on National Waterways (NWs) reached 108.8 million tons during 2021-22.

- This statement is correctly matched. Cargo movement on NWs did reach 108.8 million tons during 2021-22.

4. The total navigable length of rivers, canals, and waterways in India is around 14,850 kilometers.

- This statement is correctly matched. India indeed has a total navigable length of around 14,850 kilometers.

Thus, pairs 1, 3, and 4 are correctly matched. Only pair 2 is incorrectly matched. Therefore, the correct answer is Option C: Only three pairs.

Statement 1: This statement is incorrect. India's share of global services exports, which had been rising, has now stabilized. This indicates that there has not been a consistent rise without stabilization in recent years.

Statement 2: This statement is correct. SEIS (Service Exports from India Scheme) is indeed designed to enhance exports of specified services from India, as part of the government's efforts to boost services exports.

Statement 3: This statement is correct. India has signed comprehensive bilateral trade agreements involving services with countries such as Singapore, South Korea, Japan, and Malaysia.

Thus, the correct answer is Option C: 2 and 3 Only.

India's significant role in services trade saw a growth of 27.7% in April-December 2022 primarily due to the waning of the Covid-19 pandemic. With movement restrictions easing, vaccination coverage increasing, and the pandemic situation improving, the services sector experienced a quicker recovery, contributing to this growth in services trade.

1. Services PMI in December 2022 - 58.5: Correct. The Services PMI indeed rose to 58.5 in December 2022, indicating growth following an easing of retail inflation (CPI-C).

2. Year-on-year growth of bank credit to the services sector in November 2022 - 21.3%: Correct. Bank credit to the services sector experienced significant growth with a year-on-year rise of 21.3% in November 2022, which was the second-highest in 46 months.

3. WTO's Services Trade Barometer Index in October 2022 - 98.3: Correct. The WTO's Services Trade Barometer Index fell to 98.3 in October 2022, which was slightly below its baseline, suggesting a moderation in growth in real commercial services in the third quarter of 2022.

4. Contribution of services sector to GDP during 2001-12 - Over 62%: Correct. The services sector contributed over 62% to the GDP during the period 2001-12.

All pairs are correctly matched.

1. SEIS (Service Exports from India Scheme) - Enhances exports of specified services from India
This is correctly matched. SEIS is indeed designed to enhance the export of specific services from India.

2. GES (Global Exhibitions on Services) - Focuses on global manufacturing exhibitions
This is incorrectly matched. GES focuses on promoting global services, not manufacturing.

3. Atmanirbharta Bharat Abhiyan - Aims to boost self-reliance through a significant relief and financial stimulus package
This is correctly matched. The Atmanirbharta Bharat Abhiyan includes a large financial stimulus package aimed at making the country self-reliant.

4. NIC (National Investment Council) - A multilateral trade body supporting LDCs' involvement in services trade
This is incorrectly matched. NIC is not a trade body; the correct body involved is the WTO with specific support measures for LDCs.

Therefore, pairs 1 and 3 are correctly matched. Thus, the answer is "Option B: Only two pairs."