Cheap and affordable credit plays a crucial role for the country's development.
Reasons are :
(i) Credit helps people to meet the on going expenses of production and thereby develop their business in agricultural and industrial areas.
(ii) For middle class people, loans help a lot in constructing their houses and to get rid of monthly rents.
(iii) It raises the standard of living and social status of the common man by enabling them to buy automobiles, electronic items etc.