The present integration of global markets favours the more competitive product from a more competitive country.
Developed countries have an edge over manufactured goods due to advance in physical as well as human capital. Developing countries are preferred for exporting primary articles because they have an abundance of it.
This affects their competitiveness in the long-run as they miss out on the chance to build a manufacturing base, and remain a primary producer backward economy.

Protectionism can be any attempt to protect domestic industries from global competition. Restricting movements of people (labour), goods, services will all be considered under economic protectionism.
Preference to domestic industries creates barriers for other MNCs that desire investing in India. Increasing custom duties on imported goods and services renders Indian goods to be more competitive than goods imported from abroad.

The major reason for the rise in forex reserves is the rise in investment in foreign portfolio investors in Indian stocks and foreign direct investments (FDIs).
On the other hand, the fall in crude oil prices has brought down the oil import bill, saving precious foreign exchange. Similarly, overseas remittances and foreign travels have fallen steeply.
The sharp jump in reserves seen over the last nine-months started with the finance minister, Nirmala Sitharaman’s announcement to cut corporate tax rates on September 20. Since then the forex reserves have grown by $73 billion.

2 and 3 are incorrect.

The Reserve Bank functions as the custodian and manager of forex reserves, and operates within the overall policy framework agreed upon with the government. The RBI allocates the dollars for specific purposes. For example, under the Liberalised Remittances Scheme, individuals are allowed to remit up to $250,000 every year.

The RBI Act, 1934 provides the overarching legal framework for deployment of reserves in different foreign currency assets and gold within the broad parameters of currencies, instruments, issuers and counterparties. As much as 64 per cent of the foreign currency reserves are held in securities like Treasury bills of foreign countries, mainly the US, 28 per cent is deposited in foreign central banks and 7.4 per cent is also deposited in commercial banks abroad, according to the RBI data.

Only 1 is correct.

As per the procedure for the appointment of regulator heads, the candidates will be shortlisted by the Financial Sector Regulatory Appointments Search Committee (FSRASC) headed by the Cabinet Secretary.
The shortlisted candidates are interviewed by a panel comprising Economic Affairs Secretary and three external members having domain knowledge.
Based on the interaction, FSRASC recommends name to the Appointments Committee of the Cabinet headed by Prime Minister Narendra Modi for approval.