With reference to 'Financial Stability and Development Council', consider the following statements :
- 1.It is an organ of NITI Aayog.
- 2.It is headed by the Union Finance Minister.
- 3.It monitors macroprudential supervision of the economy.
Which of the statements given above is/are correct?
Show answer
Answer: C. Statement 1 is wrong: FSDC, set up by the government in 2010, is not part of NITI Aayog. Statement 2 is correct: it is chaired by the Union Finance Minister. Statement 3 is correct: it monitors macroprudential supervision (risks to the whole financial system). So 2 and 3.
Watch for: NITI Aayog is a new policy body, so students attach every council to it.
Why the other options are wrong
- A. Wrong because FSDC is not an organ of NITI Aayog.
- B. Wrong because Statement 2 is also correct.
- D. Wrong because Statement 1 is false.
Source to check: Ministry of Finance, Department of Economic Affairs, FSDC resolution, December 2010 (dea.gov.in)
Answer from the official UPSC key. Written and fact-checked by AI against the official key. Spotted a mistake? Report it.