top of page
< Back

Question

Priority Sector Lending by banks in India constitutes the lending to

(a) agriculture
(b) micro and small enterprises
(c) weaker sections
(d) All of the above

Answer:

D

To suggest corrections, send feedback using feedback button in top menu.

To suggest corrections, use feedback icon on top menu.

Explanation:

Priority Sector Lending by banks in India constitutes the lending to multiple sectors that are considered priority sectors for inclusive and sustainable economic development. These sectors include:

(a) Agriculture: This includes loans provided for farming activities, agricultural infrastructure, and allied activities.

(b) Micro and Small Enterprises: This includes loans provided to micro and small enterprises (MSEs) for their establishment, expansion, or modernization.

(c) Weaker Sections: This includes loans provided to individuals or groups belonging to socially and economically disadvantaged sections of society, such as scheduled castes and scheduled tribes.

(d) Other sectors: Priority Sector Lending also includes lending to sectors like education, housing, export credit, renewable energy, and others as specified by the Reserve Bank of India (RBI) from time to time.

0

How was this explanation?

bottom of page