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Sources of Rural Credit Video Lecture | Economics Class 12 - Commerce

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00:25 Sources of Agricultural Credit
00:51 Non - Institutional Sources
02:13 Exploitation by Non -Institutional Sources
03:16 Institutional Sources
07:57 Benefits of Institutional Sources
08:58 Critical Appraisal of Rural Banking
12:05 Effective Rural Credit System
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FAQs on Sources of Rural Credit Video Lecture - Economics Class 12 - Commerce

1. What are the sources of rural credit?
Ans. The sources of rural credit include formal institutions such as commercial banks, regional rural banks, and cooperative banks, as well as informal sources such as moneylenders, traders, and relatives.
2. How do formal institutions provide rural credit?
Ans. Formal institutions provide rural credit by accepting deposits from rural areas and providing loans to farmers and rural entrepreneurs. They typically have specific loan products and schemes tailored to the needs of the rural population.
3. What is the role of moneylenders in rural credit?
Ans. Moneylenders play a significant role in providing credit to rural areas, especially in regions where formal institutions have limited reach. They often charge high interest rates, resulting in debt traps for borrowers.
4. What are the advantages of borrowing from formal institutions for rural credit?
Ans. Borrowing from formal institutions offers several advantages, including lower interest rates compared to moneylenders, access to government-sponsored schemes, financial literacy programs, and the opportunity to build a credit history.
5. How can the accessibility of rural credit be improved?
Ans. To improve the accessibility of rural credit, it is essential to expand the presence of formal institutions in rural areas through the establishment of more branches. Additionally, promoting financial inclusion, providing skill development programs, and offering collateral-free loans can also enhance rural credit accessibility.
86 videos|334 docs|54 tests
Video Timeline
Video Timeline
arrow
00:25 Sources of Agricultural Credit
00:51 Non - Institutional Sources
02:13 Exploitation by Non -Institutional Sources
03:16 Institutional Sources
07:57 Benefits of Institutional Sources
08:58 Critical Appraisal of Rural Banking
12:05 Effective Rural Credit System
More
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