Institutional Structure of Rural Banking
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Question (English)
Which of the following is NOT a part of the institutional structure of rural banking in India?
- Commercial banks
- Regional Rural Banks (RRBs)
- Stock exchanges ✓ Correct
- Cooperatives and land development banks
Explanation:
Correct Answer Explanation
The institutional structure of rural banking consists of commercial banks, Regional Rural Banks (RRBs), cooperatives and land development banks. Stock exchanges are not part of rural banking structure.
Key Points:
- These institutions are expected to dispense adequate credit at cheaper rates.
- RRBs were specifically created to serve rural areas.
- Cooperatives play a significant role in rural credit delivery.
- Stock exchanges deal with securities trading, not rural credit.
Why Other Options Are Wrong
- A, B, D: All these are part of the institutional structure of rural banking.
📚 About this Topic — CH-5: RURAL DEVELOPMENT
This multiple choice question is from CH-5: RURAL DEVELOPMENT, Indian Economic Development, NCERT Books. It has 4 options with a detailed explanation of the correct answer. Practice more MCQs from CH-5: RURAL DEVELOPMENT to strengthen your preparation.
