Cheap and affordable credit is crucial for a countries development. Explain the statement with 4 examples.

Ans. Cheap and affordable credit plays a crucial role for the country’s development. There is a huge demand for loans for various economic activities. The credit helps people to meet the ongoing expenses of production, complete production on time, and thereby increase their earnings. The main benefits from derived credit for developmental activities are :
1. Credit plays a major role in the development of a country of creating better facilities for agricultural and industrial activities.
2. Credit helps people from all walks of life in setting up their business and increase their earnings.
3. For middle-class people, loans help a lot in constructing their houses and get rid of monthly rents.
4. Credit or loans help in raising the standard of living and social status of the common man by enabling them to buy cars, scooters, televisions and other products.