Discuss the importance of credit in rural development. | Learn NCERT solution | Education portal Class 11 Indian Economic Development | Study online Unit-6 Rural Development



Q.2:- Discuss the importance of credit in rural development.

 

Answer:-
Farmers need money to buy additional land, implements and tools, fertilizers and seeds, paying off old debt, personal expenses like marriage, death, religious ceremonies, etc. Since the gestation period between crop sowing and realisation of income after sale of agricultural produce is very long, farmers need to take credit.