In 1991, India met with an economic crisis. According to you, what was the major reason behind the crisis?
Answer & explanation
Correct answer: option 3
the correct answer is Option 3: Growing external debt
India met with an economic crisis relating to its external debt, the government was not able to make repayments on its borrowings from abroad. Foreign exchange reserves , which we generally maintain to import petroleum and other important items, dropped to levels that were not sufficient for even a fortnight.