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      Question

      NABARD, as an apex institution, provides refinancing

      support to financial institutions. Which of the following best defines NABARDโ€™s refinancing function?
      A Directly lending to farmers and rural entrepreneurs Correct Answer Incorrect Answer
      B Offering loans to commercial banks and cooperative institutions to lend for agriculture and rural development Correct Answer Incorrect Answer
      C Regulating the interest rates of loans offered by rural banks Correct Answer Incorrect Answer
      D Disbursing funds for large-scale infrastructure projects in urban areas Correct Answer Incorrect Answer
      E Funding international agricultural trade activities Correct Answer Incorrect Answer

      Solution

      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.

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