UPSC CSE Prelims
Question 11
Consider the following statements :
- In India, credit rating agencies are regulated by Reserve Bank of India.
- The rating agency popularly known as ICRA is a public limited company.
- Brickwork Ratings is an Indian credit rating agency.
Which of the statements given above are correct ?
View correct answer and explanation
Correct answer: B
Correct Option: B (2 and 3 only)
Explanation: Indian credit-rating agencies operate under SEBI regulation; ICRA Limited and Brickwork Ratings are domestic agencies.
Statement / Pair / Item-wise Analysis:
1. False / does not qualify - SEBI is the principal regulator of credit-rating agencies under its CRA Regulations, not RBI.
2. True / qualifies - ICRA Limited is a public limited company.
3. True / qualifies - Brickwork Ratings India is an Indian credit-rating agency (its regulatory status can change over time).
Option-wise Analysis:
A. Incorrect-includes 1 even though SEBI is the principal regulator of credit-rating agencies under its CRA Regulations, not RBI.; omits 3 even though Brickwork Ratings India is an Indian credit-rating agency (its regulatory status can change over time).
B. Correct-selects exactly the correct statements/items identified above.
C. Incorrect-includes 1 even though SEBI is the principal regulator of credit-rating agencies under its CRA Regulations, not RBI.; omits 2 even though ICRA Limited is a public limited company.
D. Incorrect-includes 1 even though SEBI is the principal regulator of credit-rating agencies under its CRA Regulations, not RBI.