Which institution was set up in 1982 as an apex body to coordinate the activities of all institutions involved in the rural agro financing system ?
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → National Bank for Agriculture and Rural Development (NABARD)
NABARD was set up in 1982 as the apex body for rural finance. An apex body is the one at the top, which coordinates the work of all the institutions below it.
Note: A same/similar question was asked in CUET (UG) in the papers below.
| 2026 | 2025 | 2024 | 2023 | 2022 |
| – | – | – | 29-05 S3* 13-06 S3 | 10-08 S2* |
* A similar question.
NCERT (2026-27): “5.3 Credit and Marketing in Rural Areas … At the time of independence, moneylenders and traders exploited small and marginal farmers and landless labourers by lending to them on high interest rates and by manipulating the accounts to keep them in a debt-trap. A major change occurred after 1969 when India adopted social banking and multi-agency approach to adequately meet the needs of rural credit.… National Bank for Agriculture and Rural Development (NABARD) was set up in 1982 as an apex body to coordinate the activities of all institutions involved in the rural financing system. The Green Revolution was a harbinger of major changes in the credit system as it led to the diversification of the portfolio of rural credit towards production-oriented lending.…” |