Question

what are the formal sources of credit why do we need to expand formal sources of credit in India?​

Answer 1

Explanation:

We need formal sources of credit in order to reduce the dependence of farmers on informal sources of credit like money lenders. To reduce the higher risk associated with informal sources of credit because of fluctuating terms and conditions. To avail cheaper credit to farmers in rural areas.

Answer 2

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$\bf\Huge\red{\mid{\overline{\underline{ ANSWER }}}\mid }$

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$\Large\fbox{\color{purple}{QUESTION}}$

why do we need to expand formal sources of credit in India

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$\Large\fbox{\color{purple}{ SOLUTION }}$

• to reduce the dependence of credit
• cheap and affordable credit is essential for country's development
• banks are Cooperative shoal increase their landing probability in several places

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$\bf\Large\red{ THANKS \: FOR \: YOUR}$

$\bf\Large\red{ QUESTION \: HOPE \: IT }$

$\bf\Large\red{ HELPS }$

$\Large\mathcal\green{FOLLOW \: ME}$

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