Economics • Banking & FinanceEasy
What is the primary institutional role of NABARD in the economic and banking landscape of Arunachal Pradesh?
A. Providing direct retail savings accounts to urban citizens
B. Acting as an apex refinancing agency for agricultural and rural development✓ Correct Answer
C. Issuing currency notes and regulating repo rates
D. Managing international trade tariffs and customs duties
💡 Solution & Explanation
NABARD functions as the apex development bank in India, providing refinance support for agriculture, small-scale industries, cottage industries, and rural infrastructure projects across states like Arunachal Pradesh. It formulates potential linked credit plans for every district to guide commercial and rural banks in extending productive loans. Central bank regulatory functions such as currency issuance remain exclusively with the Reserve Bank of India. NABARD also oversees the promotion and financing of rural Self-Help Groups.
More Economics Banking & Finance questions
- How do cooperative societies and cooperative banks contribute to the rural credit structure in remote…
- Which regional rural bank operates extensively across Arunachal Pradesh to provide grassroots banking…
- What is the primary function of 'Collateralized Borrowing and Lending Obligation (CBLO)' or its modern…
- What is the primary function of the Reserve Bank of India as the lender of last resort?
- What is the primary function of the 'Collateralized Borrowing and Lending Obligation (CBLO)' or its…