Question

NABARD, as an apex institution, provides refinancing

Q: Answer-NABARD, as an apex institution, provides refinancing support to financial institutions. Which of the...

NABARD provides refinancing support to commercial banks, cooperative banks, and regional rural banks to enable them to offer credit to farmers and rural entrepreneurs for agriculture and allied activities.

support to financial institutions. Which of the following best defines NABARD’s refinancing function?

A Directly lending to farmers and rural entrepreneurs

B Offering loans to commercial banks and cooperative institutions to lend for agriculture and rural development

C Regulating the interest rates of loans offered by rural banks

D Disbursing funds for large-scale infrastructure projects in urban areas

E Funding international agricultural trade activities

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NABARD, as an apex institution, provides refinancing

Solution