Economics · Economy

Consider the following statements regarding foreign exchange accounts and regulations in India: Statement 1: The Exchange Earners Foreign Currency (EEFC) account is strictly a non-interest-bearing current account that allows residents to credit up to 100% of their export proceeds, which must be utilized or converted into INR by the end of the next calendar month. Statement 2: Under the Resident Foreign Currency (RFC) account guidelines, returning Indians can maintain their overseas assets in foreign currency without any time limit, and the interest earned is always exempt from income tax. Statement 3: The Liberalised Remittance Scheme (LRS) allows a resident individual to remit up to 250,000 USD per financial year for permissible current or capital account transactions, but explicitly prohibits remittances for margin trading. Statement 4: A Resident Foreign Currency (Domestic) account can be held in the form of an interest-earning savings account at the discretion of the commercial bank's board. Identify the correct assessment of their validity.