APPSC Group-1 2024 Economy Previous Year Questions

Ans: (1) I and IV (as per APPSC official final key)

In early 2024, the IMF, the World Bank, the RBI and the Economic Survey team all projected India as the fastest-growing major economy. They gave two main reasons:

• Private Final Consumption Expenditure (PFCE), i.e. household spending on goods and services, the largest component of GDP at about 55–60%, remained strong (I).
• The El Niño effect was fading. El Niño is the warming of the eastern Pacific that weakens the Indian monsoon, so its fading improved rabi crop prospects and rural demand (IV).

The Government did not shift away from capital expenditure. Public capex was raised (₹11.11 lakh crore in the FY25 interim budget) to crowd in private investment (II is wrong). FMCG volumes were recovering, not falling (III is wrong).

Note:

• GDP by expenditure = PFCE + GFCE (government consumption) + GFCF (investment) + net exports.
• El Niño is associated with a weak monsoon. La Niña is associated with a good monsoon. The Indian Ocean Dipole (IOD) also matters.
• Rabi crops: wheat, mustard, gram. They are sown Oct–Dec and harvested Mar–Apr.

Ans: (4) I and IV (as per APPSC official final key)

India’s digital payments ecosystem is led by UPI, run by the NPCI (2016).

• In 2024 the promotion of digital payments was moved under the Allocation of Business Rules from MeitY to the Department of Financial Services, Ministry of Finance (I is valid).
• e-RUPI (2021) is a person- and purpose-specific cashless voucher (QR or SMS), e.g. for vaccination or subsidies. It is not institution-based (II is wrong).
• ‘Hello! UPI’ (2023) is conversational, voice-based UPI payment launched by the NPCI, not by a consortium of private startups (III is wrong).
• UPI LITE X allows offline payments via NFC, useful in remote, low-connectivity areas (IV is valid).

Note:

• UPI 123PAY is for feature phones. UPI LITE is for small-value on-device wallet payments.
• RuPay is India’s card network. BHIM is the NPCI’s UPI app.
• UPI now works in several countries, including Singapore (PayNow link), the UAE, France, Bhutan, Nepal, Sri Lanka and Mauritius.

Ans: (4) I and IV (as per APPSC official final key)

The tourism sector contributes about 5% of GDP, and India hosted the G20 tourism track in 2023.

• NIDHI (National Integrated Database of Hospitality Industry), from the Ministry of Tourism, is a technology-driven database and service system for the hospitality and travel industry (I is valid).
• The 2047 vision is a USD 1 trillion tourism economy with about 100 million foreign tourist arrivals, not ‘international investors’ (II is wrong).
• The hotel recovery was not a smooth “consistent rise” on all metrics, which is why the key rejects III.
• India’s Services PMI has stayed above 50 (the expansion zone) (IV is valid).

Note:

• PMI above 50 means expansion and below 50 means contraction. India’s PMI is compiled by S&P Global (formerly IHS Markit).
• Hotel metrics: occupancy rate, ADR (Average Daily Rate), RevPAR (Revenue Per Available Room).
• Swadesh Darshan 2.0 and PRASHAD are tourism schemes. Dekho Apna Desh is a campaign.

Ans: (2) II and IV (as per APPSC official final key)

The Interim Budget FY25 (1 February 2024) announced several green-growth measures:

• Setting up coal gasification and liquefaction capacity of 100 MT by 2030 (II)
• Financial assistance to procure biomass aggregation machinery, to support collection of crop residue for biogas (IV)
• Phased mandatory (not optional) blending of Compressed Bio-Gas in CNG for transport and PNG for households (III is wrong)
• VGF for offshore wind energy (1 GW), not solar (I is wrong)
• A new scheme of bio-manufacturing and bio-foundry, not a ‘payment security system’ (V is wrong). The payment security mechanism mentioned in the budget relates to e-buses.

Note:

• The same budget announced rooftop solar for 1 crore households (PM Surya Ghar Muft Bijli Yojana), with up to 300 units of free electricity a month.
• Ethanol blending target: 20% by 2025–26.
• National Green Hydrogen Mission (2023): 5 MMT by 2030.

Ans: (1) Moderation in India’s merchandise export growth in FY24 accompanied by a sharp decline in India’s merchandise import growth (as per APPSC official final key)

The external sector covers trade, the current account and capital flows. In FY24, India’s merchandise exports grew slowly because global demand was weak, but merchandise imports fell more sharply, helped by lower commodity and oil prices. This narrowed the trade deficit and brought the Current Account Deficit down to about 0.7% of GDP. Strong services exports and remittances also helped.

Rising commodity prices would widen the deficit (2). Falling net services receipts would hurt (3). World output outpacing trade volume signals weak trade (4). So (1).

Note:

• CAD = trade deficit in goods minus net invisibles (services, remittances, income).
• India is the world’s largest recipient of remittances (above USD 100 billion).
• Forex reserves crossed USD 600 billion in 2023–24.

Ans: (1) Both (A) and (R) are true and (R) explains (A). (as per APPSC official final key)

A simple tax system has fewer rates, fewer exemptions and easier compliance, e.g. GST or the new personal income-tax regime. Deadweight cost (deadweight loss) is the loss of economic efficiency when taxes distort choices about work, saving and investment.

Simplifying taxes removes these distortions, lowers compliance costs and allows resources to flow to their most productive uses. That raises productivity, and through it GDP and employment. So both A and R are true and R explains A.

Note:

• The Laffer curve shows that beyond some point, higher tax rates reduce revenue.
• India cut the corporate tax rate to 22% (15% for new manufacturing) in 2019.
• The Kelkar Task Force (2003) recommended simplification and GST.

Ans: (2) Only III (as per APPSC official final key)

The National Infrastructure Pipeline (NIP), launched in December 2019 with about ₹111 lakh crore of investment over FY20–25, is a list of infrastructure projects. It covers both economic and social infrastructure such as health, education and water (I is wrong), and both greenfield and brownfield projects above ₹100 crore (II is wrong).

Its objective is to showcase investment opportunities and attract domestic and foreign investment into infrastructure (III is valid). The India Investment Grid (IIG), run by Invest India, continues to host NIP projects online, so IV is wrong.

Note:

• The NIP was based on the Atanu Chakraborty task force. Energy, roads, urban and railways have the largest shares.
• PM GatiShakti National Master Plan (2021): multimodal connectivity.
• The National Monetisation Pipeline (2021) is the brownfield counterpart: about ₹6 lakh crore over FY22–25.

Ans: (3) (A) is true, but (R) is false. (as per APPSC official final key)

e-NAM (National Agriculture Market, 2016) is an online trading portal run by SFAC that links APMC mandis. Its aim is “One Nation, One Market”. In practice, most of the trade on e-NAM is still intra-mandi (within the same mandi), and inter-mandi and inter-state trade is small (A is true).

The Model APLM Act, 2017 (Agricultural Produce and Livestock Marketing) proposed reforms such as private markets, direct marketing, a single unified licence and treating the whole State as one market. It encourages inter-market trade, not a focus on intra-mandi transactions (R is false).

Note:

• SFAC (Small Farmers’ Agri-Business Consortium) is the lead agency for e-NAM.
• Model APLM Act, 2017. The Model Contract Farming Act, 2018.
• The three farm laws of 2020 were repealed in 2021.

Ans: (3) Facilitating an opportunity for public asset owners to use new financial structures by utilizing capital from private sector investors. (as per APPSC official final key)

Asset monetisation means unlocking the value of public brownfield (de-risked, operating) assets by bringing in private capital. Ownership stays with the Government, and assets go back after a fixed period. Models include InvITs, TOT (Toll-Operate-Transfer), OMDA and leases.

So it lets public asset owners use new financial structures with private investors’ capital (3). It uses private capital for public assets, not the reverse (1). Leases are time-bound, not indefinite (2). It is a structured PPP-type mechanism, not an alternative to PPP (4).

Note:

• National Monetisation Pipeline (August 2021): about ₹6 lakh crore over FY22–25. Roads, railways and power make up the largest share.
• Proceeds are recycled into new infrastructure (‘asset recycling’).
• Disinvestment (selling a stake) is different from monetisation (leasing the asset).

Ans: (1) Only II (as per APPSC official final key)

SEBI (1988, statutory since 1992) regulates the securities markets. Under its large corporate framework (2018), listed entities with long-term borrowing of ₹1,000 crore or more and a rating of AA and above must raise at least 25% of their incremental borrowing through debt securities. This deepens the corporate bond market (II is valid).

SEBI framed regulations for InvITs (2014) and municipal bonds (2015); it did not exempt them (I is wrong). It reduced the minimum ticket size for corporate bonds (to ₹1 lakh, and later ₹10,000) to draw in retail investors (III is wrong). The RBI Retail Direct Scheme (2021), which lets individuals buy G-secs directly, is an RBI scheme, not a joint one with SEBI (IV is wrong).

Note:

• REITs (2014) are for real estate and InvITs are for infrastructure. Both are regulated by SEBI.
• SEBI’s chairpersons have included Madhabi Puri Buch (2022–25) and Tuhin Kanta Pandey (2025– ).
• The RBI regulates G-secs and money markets. SEBI regulates corporate securities.

Ans: (3) (A) is true, but (R) is false. (as per APPSC official final key)

India Stack is a set of open APIs and digital public infrastructure that enables presence-less, paperless and cashless service delivery. Aadhaar-based e-KYC cut the cost of customer verification from roughly ₹500–1,000 to a few rupees (A is true).

India Stack has more than two layers:

• Identity: Aadhaar, e-KYC
• Payments: UPI, AEPS
• Data/consent: DigiLocker, eSign, Account Aggregator

It is the identity layer, not the payment layer, that reduced e-KYC costs (R is false).

Note:

• The JAM trinity: Jan Dhan, Aadhaar, Mobile.
• Account Aggregators (RBI-regulated NBFC-AAs) enable consent-based data sharing.
• India promoted DPI (Digital Public Infrastructure) at the G20 (2023).

Ans: (1) Food Inflation > Headline Inflation > Core Inflation (as per APPSC official final key)

Inflation in India is measured by the CPI (base 2012, compiled by NSO), on which the RBI’s 4% ±2% target is based.

• Headline inflation is overall CPI inflation.
• Food inflation (CFPI) covers food items only.
• Core inflation excludes volatile food and fuel.

Around early 2024, food inflation was about 8% (vegetables, pulses), headline about 5% and core below 4%. So Food > Headline > Core.

Note:

• The flexible inflation targeting framework (2016) was set up under an RBI Act amendment, and the MPC has 6 members.
• WPI (base 2011–12) is compiled by the Office of the Economic Adviser, DPIIT.
• Food has a weight of about 46% in CPI-Combined. The base revision to 2024 is under way.

Ans: (3) II, III and IV (as per APPSC official final key)

Food price management in 2023–24 relied on direct government sales and stock releases:

• Bharat Atta (₹27.50/kg, from November 2023), together with Open Market Sale Scheme wheat releases, helped contain wheat and atta inflation (II is valid).
• Bharat Dal (chana dal, 2023) was later extended to moong dal (IV is valid).
• The key also accepts statement III, that retail inflation rose at the start of 2024.
• Milk inflation was easing in 2024, so ‘increasingly pronounced cost-push’ (I) is not accepted.

Note:

• Cost-push inflation is caused by higher input costs. Demand-pull inflation is caused by excess demand.
• The Price Stabilisation Fund (2015) maintains buffer stocks of pulses and onions.
• NAFED, NCCF and Kendriya Bhandar sell ‘Bharat’ brand products.

Ans: (1) Only III (as per APPSC official final key)

EASE (Enhanced Access and Service Excellence) is a reform agenda for Public Sector Banks only, not NBFCs (IV is wrong). It was launched in 2018 by the Department of Financial Services with the Indian Banks’ Association, and is tracked through an index by the Boston Consulting Group. It has no governing board made up of heads of financial institutions (I is wrong).

Each edition (EASE 1.0 to 6.0) set themes. EASE 6.0 (2023–24) themes included customer service with digital enablement (III is valid). EASE NEXT had more than one priority (II is wrong).

Note:

• The Indradhanush plan (2015) was a PSB reform plan with 7 elements.
• PSB mergers (2019–20) reduced the number of PSBs to 12.
• The Banks Board Bureau was replaced by FSIB (Financial Services Institutions Bureau) in 2022.

Ans: (1) II and IV (as per APPSC official final key)

Stand-Up India (April 2016) offers bank loans from ₹10 lakh to ₹1 crore to at least one SC/ST borrower and one woman borrower per bank branch. The loans are for greenfield (first-time) enterprises only, so brownfield ones are excluded (I is wrong). Non-individual enterprises qualify if at least 51% of the shareholding and controlling stake is held by an SC/ST or woman entrepreneur (II is valid).

Working capital up to ₹10 lakh may be sanctioned as an overdraft, and above that as a cash credit limit (III is wrong). Apart from primary security, the loan can be covered by CGFSIL (Credit Guarantee Fund Scheme for Stand-Up India Loans) (IV is valid).

Note:

• SIDBI is the nodal agency. The portal is standupmitra.in.
• The scheme covers manufacturing, services, trading and allied agriculture activities.
• Related schemes: PM MUDRA (Shishu/Kishor/Tarun, and Tarun Plus up to ₹20 lakh), Startup India (2016).

Ans: (3) III and IV (as per APPSC official final key)

The RBI Digital Payments Index (RBI-DPI) measures how far payments have been digitised across India. It is published half-yearly with March 2018 as the base (=100), not 2021 (I is wrong). It has five broad parameters, each with sub-parameters, not six (II is wrong):

• Payment Enablers (25%)
• Payment Infrastructure: Demand-side (10%)
• Payment Infrastructure: Supply-side (15%)
• Payment Performance (45%)
• Consumer Centricity (5%), so IV is valid

The index has risen steadily since inception, crossing 400 by 2023–24 (III is valid).

Note:

• The Payments Infrastructure Development Fund (PIDF, 2021) funds PoS terminals in Tier-3 to Tier-6 centres.
• The Payment and Settlement Systems Act was passed in 2007.
• The NPCI was set up in 2008 as a not-for-profit company, promoted by the RBI and the IBA.

Ans: (2) Only III (as per APPSC official final key)

Key monetary tools of the RBI:

• CRR (Cash Reserve Ratio) is the share of a bank’s net demand and time liabilities kept with the RBI. Raising it reduces lendable funds and credit creation (I is wrong).
• CRR applies to the whole NDTL. Incremental CRR (I-CRR) applies to the increase in deposits over a period, e.g. 10% in August 2023 to absorb surplus liquidity after the ₹2,000 note withdrawal. It is not about borrowers (II is wrong).
• MCLR (2016) is made up of the marginal cost of funds, negative carry on CRR, operating costs and the tenor premium (III is valid).
• MSF is an overnight emergency window, set at repo + 0.25%, which equals the Bank Rate. It is not a long-term rate (IV is wrong).

Note:

• LAF corridor: SDF (floor) < repo < MSF = Bank Rate (ceiling).
• SLR is kept by banks themselves, as liquid assets such as G-secs.
• Since October 2019, new floating-rate retail loans are linked to an External Benchmark (EBLR).

Ans: (2) Only III (as per APPSC official final key)

Multidimensional poverty looks beyond income at health, education and standard of living. NITI Aayog’s National MPI uses the same Alkire–Foster method as the global MPI (UNDP and OPHI), with 12 indicators (adding nutrition, maternal health and bank accounts). So I is wrong.

MPI = H × A, i.e. the product of the headcount ratio (incidence) and intensity, not their sum (IV is wrong). Poverty fell faster in rural areas than in urban ones (II is wrong). The PM Garib Kalyan Package (2020) included free foodgrains under PMGKAY (III is valid).

Note:

• NITI’s 2023 report found about 13.5 crore people escaped multidimensional poverty between 2015–16 and 2019–21. The 2024 discussion paper estimated 24.8 crore over 2013–14 to 2022–23.
• A person is MPI-poor if deprived in at least one-third of the weighted indicators.
• PMGKAY was merged with NFSA free grains from 2024 for 5 years.

Ans: (1) Only III (as per APPSC official final key)

The Urban Infrastructure Development Fund (UIDF) was announced in Budget 2023–24. It has a corpus of about ₹10,000 crore a year and is managed by the National Housing Bank, not cooperative banks (IV is wrong). It is built on the model of the RIDF, using priority-sector lending shortfalls of banks, not G-Sec bonds (I is wrong).

It is used by public agencies (municipal bodies, State Governments) for urban infrastructure in Tier-2 and Tier-3 cities, not private agencies (II is wrong). Eligible activities are linked to MoHUA missions such as AMRUT and the Swachh Bharat Mission (III is valid).

Note:

• The RIDF (Rural Infrastructure Development Fund, 1995–96) is managed by NABARD.
• AMRUT 2.0 (2021) focuses on water security. The Smart Cities Mission was launched in 2015.
• There are 3 categories of cities by population: Tier-1, Tier-2, Tier-3.

Ans: (3) III and IV (as per APPSC official final key)

India’s startup ecosystem is the world’s third largest, with DPIIT as the nodal department.

• SISFS (Startup India Seed Fund Scheme, 2021, ₹945 crore) helps startups with proof of concept, prototypes, product trials and market entry (III is valid).
• FFS (Fund of Funds for Startups, 2016, ₹10,000 crore, managed by SIDBI) invests in SEBI-registered AIFs, which in turn invest in startups (IV is valid).
• MAARG is a national mentorship portal for startups in all sectors, not only AI (II is wrong).
• Under the agri-startup incubation programme (RKVY-RAFTAAR), MANAGE (Hyderabad) is a knowledge partner involved in selection (I is wrong).

Note:

• Startup definition: up to 10 years from incorporation, turnover under ₹100 crore.
• 16 January is National Startup Day.
• Credit Guarantee Scheme for Startups (CGSS, 2022).

Ans: (1) Both (A) and (R) are true and (R) explains (A). (as per APPSC official final key)

National income accounting rests on the circular flow: what is produced (product) is sold, and the value received is paid out as wages, rent, interest and profits (income). This gives the identity National Product = National Income = National Expenditure, measured by the product, income and expenditure methods.

Production uses factors (labour, capital, land) along with raw materials, and in doing so automatically generates factor incomes. That is why product and income are synonymous. Both A and R are true and R explains A.

Note:

• NNP at factor cost = National Income. GDP + net factor income from abroad = GNP.
• India’s base year is 2011–12, with a revision to 2022–23 under way. MoSPI (NSO) compiles the data.
• GVA at basic prices + net product taxes = GDP.

Ans: (3) Only III (as per APPSC official final key)

The WTO Agreement on Agriculture (1995) sorts domestic support into ‘boxes’:

• Amber box is trade-distorting support. It is capped through the de minimis limit (10% of production value for developing countries) and reduction commitments expressed as the Total AMS, which adds up all product-specific and non-product-specific support into one figure (III is valid).
• Green box is minimal-distortion support. It allows decoupled direct payments not linked to production (II is wrong).
• Blue box is amber-type support that requires farmers to limit production. Such support can be placed in the Blue Box (IV is wrong).

The Bali ‘Peace Clause’ (2013) protects developing countries from disputes if their public stockholding for food security breaches the 10% ceiling. It does not forbid exceeding it (I is wrong).

Note:

• India invoked the Peace Clause for rice (2020 onwards).
• Article 6.2 (S&DT box): input and investment subsidies for low-income farmers are exempt.
• The 13th WTO Ministerial was held in Abu Dhabi (2024). The 12th, in Geneva (2022), agreed on fisheries subsidies.

Ans: (1) Both (A) and (R) are true and (R) explains (A). (as per APPSC official final key)

Coal washing (beneficiation) removes ash and impurities. Indian coal has high ash content, about 35–45%. Washed coal burns more efficiently, lowers transport costs per unit of energy, cuts emissions and reduces boiler wear and investment costs. Yet its use is limited (A is true).

One reason is that power plants are dispatched by ‘merit order’, cheapest variable cost first. Washing adds cost to the fuel, so plants fear they will be ranked lower and dispatched less, which discourages washeries (R is true and explains A).

Note:

• The 2016 MoEFCC rule requiring ash below 34% for distant plants was relaxed in 2020.
• India is the world’s second-largest coal producer and consumer, with output crossing 1 billion tonnes in 2023–24.
• Coking coal is used in steel (Jharia). Non-coking coal is used in power.

Ans: (3) Only III (as per APPSC official final key)

The SDGs (Agenda 2030, adopted 2015) are 17 goals with 169 targets.

• Mission LiFE (Lifestyle for Environment, launched by India in 2022) promotes mindful consumption. It aims to change individual behaviour and also to influence industry and government policy on sustainable consumption and production (III is valid).
• The National Indicator Framework for SDG monitoring is developed by MoSPI. NITI Aayog brings out the SDG India Index (II is wrong).
• Goal 10 (reduced inequalities) does not call for an ‘entire reform of the financial system’; decent work for youth falls under Goal 8 (I is wrong).
• Global citizenship education in SDG target 4.7 means values of shared humanity, peace and diversity, not flexible cross-border citizenship rights (IV is wrong).

Note:

• SDG 1: no poverty; 2: zero hunger; 5: gender equality; 13: climate action; 17: partnerships.
• In the SDG India Index 2023–24, Kerala and Uttarakhand were the top performers.
• LiFE was announced by the PM at COP26 in Glasgow (2021).

Ans: (1) IV and V (as per APPSC official final key)

Human development (Mahbub ul Haq, UNDP HDR since 1990) means expanding people’s choices. HDI = the geometric mean of health (life expectancy), education and income (GNI per capita).

• Two countries with the same GNI per capita but different HDI show that development is more than growth (I is wrong).
• The IHDI equals the HDI when there is no inequality (II is wrong).
• A GDI below 1 means women are behind men (III is wrong).
• PHDI adjusts HDI for COâ‚‚ emissions and material footprint, reflecting intergenerational concerns, just as the IHDI reflects intragenerational inequality (IV is valid).
• HDR 2021–22 (‘Uncertain Times, Unsettled Lives’) described a new uncertainty complex made up of planetary change, sweeping social transformations and polarisation (V is valid).

Note:

• India ranked 134 out of 193 in HDR 2023–24, and 130 in HDR 2025.
• GII (Gender Inequality Index) covers reproductive health, empowerment and the labour market.
• Amartya Sen’s capability approach underlies the HDI.

Ans: (4) I, III and IV (as per APPSC official final key)

Andhra Pradesh healthcare interventions, as of 2023–24:

• AB-HWCs (village health clinics) provide telemedicine through district hubs for specialist consultations (I).
• The Dr. YSR Aarogyasri scheme’s eligibility was widened by raising the family income limit to ₹5 lakh a year (III).
• YSR Aarogya Aasara pays a post-operative sustenance allowance to Aarogyasri patients during recovery (IV).
• The Family Doctor programme was designed integrated with PHCs and village clinics (PHC doctors visit villages on fixed days), not as a standalone project (II is wrong).

Note:

• Aarogyasri was launched in 2007 (Rajiv Aarogyasri) and treatment cover was later raised to ₹25 lakh.
• AB-HWCs were renamed Ayushman Arogya Mandirs.
• AP’s village health clinics are linked with Village/Ward Secretariats.

Ans: (3) I and IV (as per APPSC official final key)

AP transport and infrastructure:

• The State’s first riverine (inland waterway) project was proposed on the Krishna between Muktyala and Madipadu, part of National Waterway-4 (I is valid).
• Rail Over Bridges are being built under the Centre’s Setu Bharatam / Setu Bandhan scheme (IV is valid).
• Bhogapuram (Vizianagaram) Greenfield International Airport is a PPP project built by GMR, not financed from an NIIF corpus (II is wrong).
• AP’s infrastructure investment covers community assets too (schools, health centres, Secretariats), not only ports and corridors (III is wrong).

Note:

• National Waterway-4 covers the Krishna–Godavari system (Kakinada–Puducherry canals).
• AP’s major port is Visakhapatnam. New ports include Ramayapatnam, Machilipatnam and Mulapeta.
• Industrial corridors through AP: VCIC (Visakhapatnam–Chennai) and CBIC (Chennai–Bengaluru, Krishnapatnam node).

Ans: (2) I, II, III and V (as per APPSC official final key)

The AP Industrial Development Policy 2023–27 aims to make Andhra Pradesh a leading investment destination. Its stated focus includes becoming a ‘Plug and Play’ State, with ready industrial parks, built-up sheds and infrastructure that investors can use immediately (IV is a correct feature).

According to the official key, statements I (a 25% industry share of GSDP), II (end-to-end facilitation in 2 weeks), III (ten priorities) and V (APIIC land allotment within 2 weeks) misstate the policy’s actual targets and timelines. So I, II, III and V are incorrect.

Note:

• APIIC is the AP Industrial Infrastructure Corporation.
• Single-window clearance in AP is handled through the AP Single Desk portal.
• AP ranked at the top in early editions of the Business Reforms Action Plan (BRAP/EoDB) rankings.

Ans: (1) II and III (as per APPSC official final key)

The AP Green Hydrogen and Green Ammonia Policy (2023) supports the National Green Hydrogen Mission. Green hydrogen is produced by electrolysis of water using renewable power. Green ammonia is made from it and is easier to store and export.

• NREDCAP (New and Renewable Energy Development Corporation of AP) is the nodal agency (II is valid).
• The key also accepts statement III on port storage infrastructure.
• The policy’s targets in statement I are misquoted.
• The policy allows renewable energy sourced from third parties or power exchanges, so it does not prohibit it (IV is wrong).

Note:

• National Green Hydrogen Mission (2023): 5 MMT a year by 2030, ₹19,744 crore. The SIGHT programme gives incentives for electrolysers.
• Grey hydrogen comes from natural gas, blue hydrogen is grey plus carbon capture, and green hydrogen comes from renewables.
• Kakinada and Visakhapatnam are proposed green-ammonia hubs in AP.

Ans: (1) I and IV (as per APPSC official final key)

Andhra Pradesh socio-economic snapshot, as of 2023–24:

• AP is India’s largest banana producer. It received the ICAR–National Research Centre for Banana (Tiruchirappalli) Best State award for export promotion (I is valid).
• The YSR Jagananna Saswatha Bhu Hakku land resurvey uses CORS (Continuously Operating Reference Stations), along with drones and GNSS (IV is valid).
• AP’s GSDP growth did not show a steady decline driven by services (II is wrong).
• The revenue deficit is budgeted lower than the fiscal deficit as a share of GSDP. The fiscal deficit includes capital outlay, so it is usually larger (III is wrong).

Note:

• Fiscal deficit = total expenditure − (revenue receipts + non-debt capital receipts). Revenue deficit = revenue expenditure − revenue receipts.
• The FRBM norm for States is a fiscal deficit of 3% of GSDP, with additional borrowing linked to power-sector reforms.
• Major AP crops: rice, chillies (Guntur), tobacco, aquaculture (largest shrimp producer).