ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

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Institutional Credit for Rural Development-Proper Risk-Management or Group Lending

Institutional Credit for Rural Development-Proper Risk-Management or Group Lending

Proper Risk-Management or Group Lending? D Narayana One of the major achievements of commercial banking in general and the directed credit programme in particular has been the extension of the outreach of the banking sector to the small and marginal farmers and the weaker sections of society. The Narasimham Committee on the Financial System has however suggested a restructuring of rural banking on the ground that priority sector lending has led to falling profitability of banks.

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