economics medium True/False

NABARD provides direct retail loans to individual farmers for purchasing tractors and agricultural equipment.

  1. True
  2. False

Answer: False

NABARD is primarily an apex refinancing agency and a development bank. It does not provide direct retail loans to individual farmers. Instead, it refinances State Cooperative Agriculture and Rural Development Banks (SCARDBs), State Cooperative Banks (StCBs), and Regional Rural Banks (RRBs), which in turn lend directly to the rural populace.

Topic Indian Economy - Rural Credit
Exam Relevance Banking, SSC, UPSC
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