Question

Write four features of a co-operative bank.

Hint:

Co-operative banks are service-oriented, not profit-oriented.

Answer 1

Step 1: Understanding co-operative banks.
Co-operative banks are financial institutions established on co-operative principles to provide credit to members, especially farmers and weaker sections.
Step 2: Features.
1. Democratic control – one member, one vote system.
2. Aim is to provide service, not profit maximization.
3. Provides credit at reasonable interest rates.
4. Works for the welfare of poor farmers, small borrowers, and rural people.
Step 3: Conclusion.
Co-operative banks play a vital role in rural development and inclusive finance.