CameraIcon

SearchIcon

MyQuestionIcon

1

You visited us 1 times! Enjoying our articles? Unlock Full Access!

Appraising of the System

Which of the ...

Question

Which of the following is the main informal source of credit for rural households in India?

A

Friends

No worries! We‘ve got your back. Try BYJU‘S free classes today!

B

Relatives

No worries! We‘ve got your back. Try BYJU‘S free classes today!

C

Landlords

No worries! We‘ve got your back. Try BYJU‘S free classes today!

D

Money lenders

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

Open in App

Solution

The correct option is D Money lenders
Money lenders are the main informal source of credit for rural household in India. Because in rural areas people do not have access to banks and other financial institutions.

Suggest Corrections

thumbs-up

0

Similar questions

Which of the following is the main informal source of credit for the rural households in India?

Q. Which is the main source of credit for rich urban households in India?

Q. Which of the following is the main source of credit for the rich household?

Q. Most of the credit needs of poor households are met from informal sources of credit. The dependence of richer households on informal sources of credit is less.

Identify the reasons for this situation.

Q. The formal sector meets only about half of the total credit needs of the rural people. The remaining credit needs are met through the informal sources. Most of the loans from the informal lenders have very high interest rates and do little to increase the income of the borrowers.

What do you suggest is the best way to reduce the dependence on informal credit?

View More

Join BYJU'S Learning Program

similar_icon

Related Videos

lock

Rural Credit

ECONOMICS

Watch in App

explore_more_icon

Explore more

Appraising of the System

Standard XII Economics

Join BYJU'S Learning Program

CrossIcon