Top Economy MCQs from Current Affairs Every IAS Aspirant Should Practice – 2025 Edition

For UPSC, IAS, IPS, SSC, and IBPS aspirants, practicing economy MCQs from current affairs is crucial to securing a high score in Prelims and Mains. While reading notes gives knowledge, MCQs ensure understanding and application. This article presents the top 50 economy-based MCQs from recent Indian and global developments for September 2025.

Why Practice Economy MCQs?

  1. Prelims Edge: Most UPSC economy questions are directly linked to current affairs.
  2. Concept Reinforcement: MCQs help convert theory into actionable knowledge.
  3. Speed & Accuracy: Regular practice improves question-solving speed.
  4. Confidence Building: Knowing high-yield terms ensures you don’t panic in exams.

Top 50 Economy MCQs – September 2025

RBI & Monetary Policy

  1. The Repo Rate as of September 2025 is:
    a) 6.50%
    b) 6.75%
    c) 7%
    d) 6%
    Answer: b) 6.75%
  2. The Standing Deposit Facility (SDF) allows RBI to:
    a) Inject liquidity without collateral
    b) Reduce fiscal deficit
    c) Provide loans to public
    d) Control foreign reserves
    Answer: a) Inject liquidity without collateral
  3. Cash Reserve Ratio (CRR) is:
    a) The percentage of a bank’s net demand and time liabilities to be maintained with RBI
    b) The government’s spending ratio
    c) Investment in public sector banks
    d) FDI inflow metric
    Answer: a) The percentage of a bank’s net demand and time liabilities to be maintained with RBI

Government Schemes & Policies

  1. PM GatiShakti primarily focuses on:
    a) Education
    b) Multi-modal infrastructure development
    c) Healthcare reforms
    d) Startups
    Answer: b) Multi-modal infrastructure development
  2. Production Linked Incentive (PLI) Scheme aims to:
    a) Increase exports
    b) Promote domestic manufacturing
    c) Reduce taxes
    d) Improve banking sector
    Answer: b) Promote domestic manufacturing
  3. Under Startup India 2025, tax exemptions were extended to:
    a) 50 sectors
    b) 100 sectors
    c) 300 sectors
    d) 500 sectors
    Answer: c) 300 sectors

Fiscal Policy & Budget Terms

  1. Fiscal Deficit for 2025–26 is projected at:
    a) 4.8% of GDP
    b) 5.4% of GDP
    c) 6% of GDP
    d) 5% of GDP
    Answer: b) 5.4% of GDP
  2. Revenue Deficit occurs when:
    a) Revenue receipts < Revenue expenditure
    b) Capital expenditure > Revenue expenditure
    c) Tax revenue > GST collection
    d) RBI reduces repo rate
    Answer: a) Revenue receipts < Revenue expenditure
  3. Disinvestment of LIC IPO raised approximately:
    a) ₹1,00,000 crore
    b) ₹1,20,000 crore
    c) ₹90,000 crore
    d) ₹1,50,000 crore
    Answer: b) ₹1,20,000 crore

International Economic Developments

  1. India’s contribution to the BRICS Contingency Fund 2025 is:
    a) $5 billion
    b) $7 billion
    c) $10 billion
    d) $12 billion
    Answer: c) $10 billion
  2. FDI inflows in India (September 2025) primarily went to:
    a) Agriculture
    b) IT and Manufacturing
    c) Healthcare
    d) Tourism
    Answer: b) IT and Manufacturing
  3. The Global Inflation Rate (US CPI) dropped to:
    a) 1.9%
    b) 2.1%
    c) 2.5%
    d) 2.8%
    Answer: b) 2.1%

Quick Tips to Solve Economy MCQs

  • Read PIB & RBI updates daily – MCQs are often sourced directly from official reports.
  • Highlight Key Terms – Repo Rate, Fiscal Deficit, PLI Scheme, PM GatiShakti, SDF Operations.
  • Practice Regularly – Daily 15–20 MCQs ensures retention and accuracy.
  • Link Terms to Current Affairs – Easier to remember when connected to recent news.
  • Track Mistakes – Use an error log to avoid repeating mistakes in Prelims.

Conclusion

Regularly practicing economy MCQs from current affairs helps you improve speed, accuracy, and confidence in UPSC exams. Use this list as a foundation, and complement it with daily news updates and BestCurrentAffairs.com notes to ensure you stay ahead of the competition.

Pro Tip: Subscribe to BestCurrentAffairs.com for weekly MCQs, full-length notes, and expert insights — your shortcut to UPSC success.

UPSC Prelims 2025 Notes