36. Which of the following is not a benefit of SHGs for the banking sector?
a) Increased outreach to rural and low-income communities
b) Reduction in non-performing assets (NPAs)
c) Cost-effective and efficient delivery of financial services
d) Increased profit margins for banks
37. What does the term “JLG” stand for in the context of SHGs?
a) Joint Liability Group
b) Joint Lending Group
c) Joint Leadership Group
d) Joint Learning Group
38. Why is group lending an effective strategy for SHGs?
a) It reduces the risk of loan defaults through joint liability
b) It ensures equal distribution of loans among group members
c) It encourages collaboration and mutual support within the group
d) All of the above
39. What is the repayment frequency of loans provided by SHGs?
a) Monthly
b) Quarterly
c) Annually
d) Payback is flexible and based on borrowers’ income
40. Which of the following activities is not a primary responsibility of an SHG leader?
a) Assessing loan applications and deciding on loan disbursals
b) Facilitating regular meetings and discussions among group members
c) Maintaining financial records and accounts of the SHG
d) Advertising and marketing the services of the SHG
