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Which state has proposed to control microfinance, by way of a state legislation?
A)
Assam
B)
Kerala
C)
Tamil Nadu
D)
Uttar Pradesh

Correct Answer :   Assam


The state Government of Assam has enacted “The Assam Microfinance Institutions (Regulation of Moneylending) Act, 2020”, through which it proposes to control microfinance and related institutions. Under this act, micro finance institutions require separate registrations for working in a selected village or city.
In this regard, the Reserve Bank of India has expressed firm reservations and has stated that implementation of the Act would lead to dual regulation of the microfinance market.

Published On : July 17, 2021
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