UPSC Prelims 2017 GS Paper I · Q55 of 100 Economy medium

With reference to 'National Investment and Infrastructure Fund', which of the following statements is/are correct ? 1. It is an organ of NITI Aayog. 2. It has a corpus of ₹ 4,00,000 crore at present. Select the correct answer using the code given below :

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

Why the answer is (d)

• The NIIF (2015) is India's sovereign-backed infrastructure investment fund set up as a company/trust under the Ministry of Finance, with the Government holding 49% and the rest from foreign and domestic institutional investors — it is not an organ of NITI Aayog, so statement 1 is wrong.

• Statement 2 is wrong: its proposed corpus was ₹40,000 crore (about US$ 6 billion), not ₹4,00,000 crore.

• It invests through Master Fund, Fund of Funds and Strategic Fund.

• Hence neither 1 nor 2, option (d).

Why the other options are wrong

(a) 1 only
Statement 1 is wrong: NIIF is under the Finance Ministry, not NITI Aayog.
(b) 2 only
Statement 2 is wrong: the corpus is ₹40,000 crore.
(c) Both 1 and 2
Both statements are wrong.

Asked in the GS Paper I of the UPSC Civil Services Preliminary Examination 2017, held on 18 June 2017. 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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