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The Green Revolution changed rural credit chiefly by shifting the portfolio towards
Aproduction-oriented lending
Bconsumption-only lending
Cforeign currency lending
Dshort-term trade finance
Answer & Solution
Correct answer: A. production-oriented lending
1. Before it, rural borrowing largely met consumption and social expenses.
2. New inputs such as seeds and fertilisers needed financing.
3. The Green Revolution diversified rural credit towards **production-oriented lending**.
4. That reorientation is why it is called a harbinger of major changes in the credit system.
_Source: NCERT Class 11 Indian Economic Development, Ch 5 "Rural Development", section 5.3 CREDIT AND MARKETING IN RURA L_
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