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In India, commercial banks have the highest share in the disbursement of credit to _______.

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NTPC CBT-I (Held On: 5 Jan 2021 Shift 2)
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  1. Moneylenders
  2. PSUs
  3. Agriculture
  4. Microfinance

Answer (Detailed Solution Below)

Option 3 : Agriculture
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Detailed Solution

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The correct answer is Agriculture.

  • In India, commercial banks have the highest share in the disbursement of credit to Agriculture.​

​Important Points 

  • Priority Sector Lending: The government of India and the Reserve Bank of India consider some sectors as important as they need development to fulfill the basic needs of the country.
  • Categories under priority sector: Agriculture.
    • Micro, Small and Medium Enterprises
    • Export Credit
    • Education
    • Housing
    • Social infrastructure
    • Renewable Energy
    • Others.
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