Economics · Financial Markets
Government securities (G-Secs) are generally considered risk-free or sovereign debt instruments because:
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1They are backed by SEBI's insurance funds
- 2They carry a guarantee of full repayment by the Government of India✓
- 3They are immune to changes in domestic inflation
- 4They can only be purchased using foreign currency reserves
Correct answer
They carry a guarantee of full repayment by the Government of India
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