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    Question

    Which of the following statements accurately describes

    the recent inclusion of 10-year Sovereign Green Bonds (SGrBs) under RBI’s Fully Accessible Route (FAR) for non-residents?
    A SGrBs are designated as "open for all" bonds for resident investors. Correct Answer Incorrect Answer
    B The SGrBs are scheduled for issuance in the first quarter of fiscal 2025-26. Correct Answer Incorrect Answer
    C The FAR channel allows non-residents to invest in specified government securities without any investment limits. Correct Answer Incorrect Answer
    D The SGrBs were already a part of the FAR before this new designation. Correct Answer Incorrect Answer
    E Only domestic investors are permitted to invest in these SGrBs under FAR. Correct Answer Incorrect Answer

    Solution

    The Fully Accessible Route (FAR) was introduced in 2020 to allow non-residents such as FPIs, NRIs, and OCIs to invest in specified government securities without investment limits. This new inclusion designates 10-year Sovereign Green Bonds (SGrBs) as specified securities for FAR, broadening non-residents' investment options.

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