Economics • Indian EconomyMedium
What is the primary institutional objective of the Production Linked Incentive scheme introduced across key manufacturing sectors by the Union Government?
A. To provide financial incentives on incremental sales of manufactured goods produced in domestic units to boost manufacturing competitiveness✓ Correct Answer
B. To provide direct cash subsidies to agricultural laborers for purchasing certified crop seeds
C. To offer interest-free housing loans to government employees in urban metropolitan areas
D. To waive corporate income tax liabilities for software export companies located in special economic zones
💡 Solution & Explanation
The Production Linked Incentive scheme offers financial incentives based on incremental sales of products manufactured in India, aiming to enhance domestic manufacturing capabilities, attract global investments, and foster export competitiveness. It targets critical sectors such as electronics, pharmaceuticals, and automobiles. This policy initiative aligns with the broader vision of self-reliant economic growth.
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