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Consider the following statements: Most international agencies which fund development programmes in India on intergovernmental bilateral agreements, mainly provide I. Technical assistance. II. Soft loans which are required to be paid back with interest. III. Grants, not required to be paid back. IV. Food assistance to alleviate poverty. Of these statements
Explanation
Most intergovernmental funding for development in India takes the form of concessional financing and loans from bilateral and multilateral sources — bilateral assistance and multilateral institutions commonly provide loans and credits for development projects [1]. Agencies such as IDA explicitly offer interest-free credits and grants, showing that both concessional (soft) loans and outright grants are standard instruments of such assistance [2]. Broadly, foreign aid to developing countries also includes loans and various forms of aid from other countries and organisations, reinforcing that loans and grants are central components of intergovernmental funding [3]. Technical assistance is also widely provided (training, experts), while food aid is less characteristic of the bulk of such programme funding.
Sources
- [1] Indian Economy, Vivek Singh (7th ed. 2023-24) > Chapter 4: Government Budgeting > Govt. of India (Central Govt.) Total Debt/Liabilities = 1 + 2 + 3 + 4 > p. 164
- [2] Indian Economy, Vivek Singh (7th ed. 2023-24) > Chapter 13: International Organizations > International Development Association (IDA) > p. 399
- [3] Geography of India ,Majid Husain, (McGrawHill 9th ed.) > Chapter 12: Transport, Communications and Trade > BALANCE OF TRADE AND BALANCE OF PAYMENT > p. 52