Question

Why do farmers in Venkatapuram have to borrow money from brokers ?

• A. To buy inputs for farming.
• B. Bank loans have high interests.
• C. To educate their children.
• D. Bank lones are difficult to get.

Answer 1

Answer: (A), (D)

The correct options are
A To buy inputs for farming.
D Bank lones are difficult to get.

Farmers are poor and require inputs like seeds, fertilizers, etc., for farming. Banks do not grant them loans easily as they are sceptical on farmers repayment capacities.