Q1. In India's defence sector, the foreign direct investment limit under the automatic route has been increased to what percentage?
A 51%
B 49%
C 74% Correct
D 100%
Explanation
For the 2022-cycle question, the relevant policy position is that foreign direct investment in the defence sector under the automatic route was raised to 74%. The 49% figure was the earlier automatic-route ceiling and is therefore outdated for this question. The 51% figure is not the notified automatic-route limit for defence. The 100% figure is possible only under the government route in specific cases involving access to modern technology or other recorded reasons, not as the automatic-route limit.