Question

Read the following passage carefully and answer the given questions. Certain words/phrases are given in bold to help you locate them while answering some of the questions.
What has adversely affected the success of microfinance institutions in the US?

• A. The focus of these institutions is on making a profit at any cost instead of being charitable to the needy.
• B. American banks engaged in microlending were the most severely hit during the recession.
• C. Widespread perception among bankers that those institutions are better suited to developing countries.
• D. Their failure to attract those outside the formal banking system as customers.
• E. Americans are too proud to accept aid from Third World countries.

Answer 1

The correct option is D Their failure to attract those outside the formal banking system as customers.

Their failure to attract those outside the formal banking system as customers has adversely affected the success of micro finance institutions in the US.