Question

suggest some ways to increase the approachability of formal sources of credit in the rural areas

Answer 1

Some ways to increase the availability of formal sources of credit in rural areas are

1. Increase the number of bank branches in rural areas.
2. Make it easier to open bank accounts for people in rural areas. Once people start depositing more of their savings in bank accounts, that will increase the availability of bank credit.
3. Enhance the presence of microfinance institutions in rural areas.