Why do rural borrowers depend on informal sector of credit?
Answers
Answered by
61
Dear ur answer
there are a few important reasons for high dependency over informal credit source in the rural areas. These are as follows.
1. Inadequate banking system
2. Cumbersome paper work to procure a loan from rural banks
3. Farmers lack credit worthiness, thus, making it difficult to approach banks for loans
4. Rural people remain unaware of different types of credit options available to them by the rural banks
there are a few important reasons for high dependency over informal credit source in the rural areas. These are as follows.
1. Inadequate banking system
2. Cumbersome paper work to procure a loan from rural banks
3. Farmers lack credit worthiness, thus, making it difficult to approach banks for loans
4. Rural people remain unaware of different types of credit options available to them by the rural banks
Answered by
1
It may be helpful to uh....
Similar questions