Question

Which statement best captures the critical appraisal of rural banking in India?

पर्याय

• Every farmer in rural India now has full access to formal credit and moneylenders have been completely eliminated

• Despite multi-agency efforts, many small and marginal farmers remain outside the formal credit system, and coverage through micro-finance and SHGs is still limited

• Only large farmers face difficulty in accessing institutional credit

• Rural banking has failed entirely, with no bank accounts being opened anywhere

Answer 1

The critical appraisal recognises that despite multi-agency efforts, many small and marginal farmers remain outside the formal credit system, and coverage through micro-finance and SHGs is still limited. Rural banking has expanded, but gaps in inclusion persist.