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Strengthen your UPSC Economy preparation with this weekly current affairs compilation under the “Economy This Week” series, covering major economic developments from 2nd November to 7th November 2026. This session provides an exam-oriented analysis of the Liberalised Remittance Scheme (LRS), RBI Inflation Expectations Surveys, Variable Rate Reverse Repo (VRRR) Auctions and Liquidity Management, relevant for UPSC Prelims 2027, UPSC Mains GS Paper 3 and State PCS examinations.
This episode covers the Liberalised Remittance Scheme (LRS) of the Reserve Bank of India (RBI), explaining Overseas Remittances, Foreign Exchange Transactions, FEMA, Capital Account Transactions, Current Account Transactions and the USD 250,000 Annual Remittance Limit for resident individuals.
The session also examines RBI Surveys on Inflation Expectations, focusing on the Inflation Expectations Survey of Households (IESH), Consumer Confidence Survey, Inflation Perceptions, Price Expectations, Monetary Policy Decisions and Inflation Targeting in India.
We further discuss RBI's Variable Rate Reverse Repo (VRRR) Auction for Liquidity Absorption, explaining how the central bank manages Surplus Liquidity in the Banking System through Liquidity Adjustment Facility (LAF), Reverse Repo Operations, Short-Term Interest Rates and Monetary Policy Transmission.
Special emphasis is placed on the Difference Between Repo and Reverse Repo, Variable Rate Repo (VRR) vs VRRR, RBI Liquidity Management Framework, Money Supply, Banking Liquidity and Inflation Control.
This session is highly useful for UPSC Prelims 2027, UPSC Mains GS Paper 3, Indian Economy, RBI Monetary Policy, Banking and Finance, Inflation, Foreign Exchange Management, Financial Markets and State PCS aspirants.
Watch the complete session and strengthen your Economy Current Affairs preparation with Drishti IAS English.
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