Question

    What is the primary responsibility of SIDBI in the MUDRA

    scheme?
    A Providing refinancing facilities to banks and microfinance institutions Correct Answer Incorrect Answer
    B Distributing loans directly to MSMEs Correct Answer Incorrect Answer
    C Setting up infrastructure for digital lending platforms Correct Answer Incorrect Answer
    D Offering interest rate subsidies to small enterprises Correct Answer Incorrect Answer
    E Developing the policy framework for MUDRA scheme implementation Correct Answer Incorrect Answer

    Solution

    The primary responsibility of SIDBI (Small Industries Development Bank of India) in the MUDRA scheme is to provide refinancing facilities to banks and microfinance institutions. SIDBI plays a crucial role in facilitating the flow of funds to micro-enterprises by supporting the financial intermediaries.

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