Which of the following is a feature of Micro Finance Institutions?

Correct option is D

The correct answer is (d) Financial Services to disadvantages people.
· Micro Finance Institutions (MFIs) specialize in providing financial services such as microloans, savings accounts, and insurance to low-income individuals, particularly those who lack access to traditional banking services.
· Their primary focus is on empowering disadvantaged and underserved communities by providing them with access to credit and financial resources to support income-generating activities and improve their socio-economic status.
· Similar to banking operation traditions, microfinance entities are supposed to charge their lender’s interests on loans.
· In most cases the so-called interest rates are lower than those charged by normal banks, certain rivals of this concept accuse microfinance entities of creating gain by manipulating the poor people’s money.
· This includes both the consumers and the self-employed.
· Microfinance Institutions (MFIs) in India exist as NGOs (registered as societies or trusts), Section 25 companies and Non-Banking Financial Companies (NBFCs).