Given that a large number of people in our country are poor

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#1

Given that a large number of people in our country are poor, does it in any way affect their capacity to borrow?


#2

Poor have low capacity to borrow since they have no collateral to offer. They cannot get any credit from formal sources of credit like banks and cooperatives. They mostly take loans fronTinformal sources of credit like moneylenders, friends, relatives, etc.