Question

Through which institutions does NABARD provide credit to farmers?

Options

• Moneylenders and village traders

• State co-operative banks and Regional Rural Banks (RRBs)

• Urban housing finance companies

• Foreign investment banks only

Answer 1

One of NABARD's key functions is to provide credit to farmers via state co-operative banks and Regional Rural Banks (RRBs), making it the channel through which rural credit flows to farmers.