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Rural Development

Question

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State any three drawbacks of rural banking.

Solution

Three drawbacks of rural banking:

1. Banking credit has invariably been linked with collateral. Due to this, a large section of small and marginal holders has remained out of its ambit.

2. Eying on the gains of population, the government has been very lament on the recovery of loans, because of which there has been large number of wilful defaulters.

Some More Questions From Rural Development Chapter

Why the cooperative marketing could not gain momentum in India.

Explain the areas of focus while diversifying the activities to agriculture.

Define agro-processing industries.

What are the alternative channels available for agricultural marketing ? Give some examples.

What are two types of purposes for which Indian farmers require credit?

Name the two categories of agricultural finance (credit) in India?

Who occupies the prime place in non-constitutional agricultural finance in India?

Name the policy instruments as measures initiated by the Government to improve the agricultural marketing system.

Define rural development?

Name the main sources of institutional agricultural finance in India.

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