What is the primary aim of Regional Rural Banks in India?
Show answer & explanation
Correct answer: A
Explanation
The correct answer is option 1 i.e. Development of rural economy.
The primary aim of Regional Rural Banks (RRBs) in India is to provide financial services, especially credit, to the rural population. Established to promote economic development in rural areas, RRBs focus on serving farmers, small entrepreneurs, and low-income groups by offering affordable loans and banking services. They aim to reduce poverty, support agricultural growth, and improve rural livelihoods by making financial resources more accessible in underdeveloped and remote regions, thereby contributing to rural economic growth and financial inclusion.