New Enroll in RBI Grade B New Batch - Starts on May 21

    Question

    Which of the following statements best defines a Micro

    Finance Institution (MFI)?
    A MFIs are investment firms that cater exclusively to high-net-worth individuals. Correct Answer Incorrect Answer
    B MFIs are non-profit organisations that provide financial services to low-income individuals and small businesses. Correct Answer Incorrect Answer
    C MFIs are banks that provide loans only to large corporations. Correct Answer Incorrect Answer
    D MFIs are government agencies that regulate the microfinance sector. Correct Answer Incorrect Answer

    Solution

    A financial institution that provides small loans and other financial services to individuals and small businesses who lack access to traditional banking services, typically focusing on low-income and underserved populations to promote financial inclusion and economic development.

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