n NISM Certifications
XV NISM Series XV
Medium

________ is considered an Economic Factor in PESTLE analysis.

Practice question from NISM XV Mock Test 7 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Foreign Exchange Reserves

  2. B

    Monetary policies of the RBI

  3. C

    Dependence of a country on other countries for important natural resources

  4. All of the above

    Correct answer

Why this is the answer

PESTLE analysis examines macro-environmental factors affecting business. Economic factors include monetary policies, foreign exchange reserves, and reliance on imports for critical resources. These elements influence inflation, currency stability, and economic conditions for businesses, making all listed factors part of the economic component.

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