Consider the following statements : 1. In India, there is no ceiling in the Foreign Direct Investment in oil refining. 2. Indian Oil Corporation has only 49% share holding in Lanka IOC which retails fuel in Sri Lanka. Which of the statements given above i

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Q: 55 (IES/2004)
Consider the following statements :
1. In India, there is no ceiling in the Foreign Direct Investment in oil refining.
2. Indian Oil Corporation has only 49% share holding in Lanka IOC which retails fuel in Sri Lanka.
Which of the statements given above is/ are correct ?

question_subject: 

Economics

question_exam: 

IES

stats: 

0,4,18,0,7,11,4

keywords: 

{'foreign direct investment': [0, 0, 2, 7], 'indian oil corporation': [0, 0, 2, 0], 'oil refining': [0, 0, 0, 1], 'india': [8, 1, 7, 13], 'lanka ioc': [0, 0, 1, 0]}

Option 1 states that there is no ceiling on Foreign Direct Investment (FDI) in oil refining in India. This means that there is no maximum limit on the amount of FDI that can be invested in the oil refining sector in India. Therefore, option 1 is incorrect.

Option 2 states that Indian Oil Corporation (IOC) has only 49% share holding in Lanka IOC, which is a company that retails fuel in Sri Lanka. This means that IOC has less than 50% ownership in Lanka IOC. Therefore, option 2 is correct.

Since only one of the statements is correct, the correct answer is option 2 - 2 only.

In summary, there is no ceiling on FDI in oil refining in India (contrary to what option 1 suggests) and Indian Oil Corporation has less than 50% shareholding in Lanka IOC (as stated in option 2).