BANKING AFFAIRS

Detailed explanation-1: -microcredit, also called microbanking or microfinance, a means of extending credit, usually in the form of small loans with no collateral, to nontraditional borrowers such as the poor in rural or undeveloped areas.

Detailed explanation-2: -Microcredit is a common form of microfinance that involves an extremely small loan given to an individual to help them become self-employed or grow a small business. These borrowers tend to be low-income individuals, especially from less developed countries (LDCs).

Detailed explanation-3: -Micro credit plan (MCP) or family investment plan is a very objective, scientific and. comprehensive process for preparing plans by SHGs for their families and households to estimate financial needs that can help them in making informed choices in estimating credit demand and invest it in suitable activities. 2.

Detailed explanation-4: -Microcredit helps in the alleviation of poverty, employment, entrepreneurship, higher productivity from agriculture, women empowerment, gender equality, reduced rural outmigration, better health and education, green entrepreneurship, and adoption of modern technology/inputs in agriculture.