​In which year was the Malegam Committee appointed to study issues and concerns of the Micro Finance Sector?​

Correct option is A

The correct answer is (A) 2010.

• The Micro Finance Institution (MFI) sector in India faced a crisis in 2010 due to high interest rates and coercive recovery practices leading to borrower suicides.
• The Reserve Bank of India (RBI) constituted the Malegam Committee in 2010 to study the issues and concerns in the MFI sector and suggest regulatory measures.
• The Malegam Committee recommended a cap on the interest rates charged by MFIs, a code of conduct for recovery practices, and the creation of a separate category of NBFC-MFIs.
• The recommendations of the Malegam Committee were incorporated in the Micro Finance Institutions (Development and Regulation) Bill, 2012, which became an Act in 2016.