UPSC Prelims 2020 – Question 17

Q17. “Gold Tranche” (Reserve Tranche) refers to

(a) a loan system of the World Bank
(b) one of the operations of a Central Bank
(c) a credit system granted by WTO to its members
(d) a credit system granted by IMF to its members

Answer: D

• A reserve tranche is a portion of the required quota of currency each member country must provide to the International Monetary Fund (IMF) that can be utilized for its own purposes—without a service fee or economic reform conditions. It is a credit system granted by the IMF to its members.

For UPSC Prelims Resources, Click here

For Daily Updates and Study Material:

Join our Telegram Channel – Edukemy for IAS

• 1. Learn through Videos – here
• 2. Be Exam Ready by Practicing Daily MCQs – here
• 3. Daily Newsletter – Get all your Current Affairs Covered – here
• 4. Mains Answer Writing Practice – here

Visit our YouTube Channel – here