UPSC Prelims 2016 GS Paper I · Q26 of 100 Economy medium

With reference to 'Stand Up India Scheme', which of the following statements is/are correct? 1. Its purpose is to promote entrepreneurship among SC/ST and women entrepreneurs. 2. It provides for refinance through SIDBI. Select the correct answer using the code given below.

  1. (a) 1 only
  2. (b) 2 only
  3. (c) Both 1 and 2 ✓ UPSC's answer
  4. (d) Neither 1 nor 2

Why the answer is (c)

• Stand Up India (2016) requires each bank branch to lend between ₹10 lakh and ₹1 crore to at least one SC/ST borrower and one woman borrower for setting up a greenfield enterprise (statement 1).

• SIDBI provides refinance support through a Refinance Window, with a credit guarantee fund via NCGTC (statement 2).

• Hence both 1 and 2, option (c).

Why the other options are wrong

(a) 1 only
Statement 2 is also correct: SIDBI refinances.
(b) 2 only
Statement 1 is also correct: it targets SC/ST and women.
(d) Neither 1 nor 2
Both statements are correct.

Asked in the GS Paper I of the UPSC Civil Services Preliminary Examination 2016, held on 7 August 2016. Question and answer key: Union Public Service Commission. Explanation: UPSC Answer Check.

Reading the answer is not the same as getting it right under a clock. Practise this question with UPSC's negative marking, and anything you miss goes into an error notebook until you get it right twice.

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