Which of the following statement (s) is/are correct?

Statement 1: The opening of the economy in the post 1991 reform period has led to a rapid increase in foreign direct investment and foreign exchange reserves.

Statement 2: The reform-led growth (in the post 1991 reform period) has not generated employment opportunities in the country.

Only Statement 1 is correct.

The correct answer is Option 1: Only Statement 1 is correct.

Statement 1: The opening of the economy in the post 1991 reform period has led to a rapid increase in foreign direct investment and foreign exchange reserves. This is correct. The opening of the economy has led to a rapid increase in foreign direct investment and foreign exchange reserves. The foreign investment, which includes foreign direct investment (FDI) and foreign institutional investment (FII), has increased from about US $100 million in 1990-91 to US $ 30 billion in 2017-18.

Statement 2: The reform-led growth (in the post 1991 reform period) has not generated employment opportunities in the country. This is incorrect. The reform-led growth did create some new employment opportunities. Though the GDP growth rate has increased in the post 1991 reform period, scholars point out that the reform-led growth has not generated sufficient employment opportunities in the country.