GENERAL KNOWLEDGE

Detailed explanation-1: -Detailed Solution. The correct answer is 1975. India decided to delink the rupee from the pound sterling and linked it to a “basket of currencies” in 1975.

Detailed explanation-2: -At the time of independence (in 1947), India’s currency was pegged to pound sterling, and the exchange rate was a shilling and six pence for a rupee-which worked out to Rs 13.33 to the pound.

Detailed explanation-3: -The Indian Rupee was devalued in three instances. The Indian rupee was devalued for the first time in 1949, later it was devalued in 1966 and finally the Indian rupee was devalued in 1991. In 1991, the Indian rupee was devalued in two steps, first on 1st July and again on 3rd July.

Detailed explanation-4: -Due to a shortage of funds within the government, the value of the Indian rupee was reduced in 1949. Due to the war with China and Pakistan in 1966, the Indian rupee was devalued. The Indian government once more devalued the rupee in 1991 during a financial crisis.