Question

According to the UPA of 1997, inside and outside debts must be treated equally. (1 point)

True/False

Answer 1

False According to the UPA of 1997, inside and outside debts are not treated equally.

Step-by-step explanation:

The statement according to the UPA of 1997, that inside and outside debts must be treated equally, is False.

Under the UPA of 1997, inside and outside debts are not treated equally. Inside debt refers to the government borrowing money from its citizens or domestic financial institutions, while outside debt refers to borrowing money from foreign entities like other governments or international organizations.

Since inside debt is owed to the country itself, it is generally regarded as less risky and easier to manage compared to outside debt, which may have more unfavorable terms and conditions.