मराठी

In India, about 80 per cent of farmers are small farmers, who need credit for cultivation. Why might banks be unwilling to lend to small farmers?

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प्रश्न

In India, about 80 per cent of farmers are small farmers, who need credit for cultivation.

Why might banks be unwilling to lend to small farmers?

लघु उत्तर
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उत्तर

Banks are hesitant to give loans to small farmers because they lack collateral, and some are unable to repay the loan on time. Apart from that, some farmers are already in debt, so banks are hesitant to loan them more money.

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Informal Institutions - Local Money Lenders, Landlords, Self Help Groups, Chit Funds and Private Finance Companies
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पाठ 3: Money and Credit - Exercises [पृष्ठ ५३]

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एनसीईआरटी Social Science Understanding Economic Development [English] Class 10
पाठ 3 Money and Credit
Exercises | Q 11. (a) | पृष्ठ ५३
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