current affairs MCQ #4893

Which of the following is a key indicator used to measure the health of Pakistan's foreign exchange reserves?

current affairs MCQ #4893

  1. Question 1

    Q1. Which of the following is a key indicator used to measure the health of Pakistan's foreign exchange reserves?

    • A) Gross Domestic Product growth rate
    • B) Import cover in weeks or months
    • C) Consumer Price Index
    • D) Fiscal deficit as percentage of GDP

    Answer: Import cover in weeks or months

    Explanation: Foreign exchange reserve adequacy is measured by import cover — the number of weeks or months of imports the reserves can finance — with three months considered a minimum safe threshold.