UPSC CSE Prelims
Question 51
"Rapid Financing Instrument" and "Rapid Credit Facility" are related to the provisions of lending by which one of the following ?
View correct answer and explanation
Correct answer: B
Correct Option: B (International Monetary Fund)
Explanation: The IMF offers Rapid Financing Instrument (RFI) and Rapid Credit Facility (RCF) for urgent balance-of-payments needs; RCF is concessional for eligible low-income economies.
Option-wise Analysis:
A. Incorrect-The Asian Development Bank has different emergency financing mechanisms, not these named IMF facilities.
B. Correct-both RFI and RCF are emergency IMF lending instruments.
C. Incorrect-UNEP Finance Initiative is an investment/sustainability partnership, not the provider of RFI or RCF.
D. Incorrect-The World Bank has crisis finance but these named instruments belong to the IMF.