Agricultural policies UE Past Papers Questions.

Which one of the folowing is not necessarily a good quality of good SACCOS

1. SACCO should have a business/social mentality and not a social/business mentality
2. A SACCOS should employ locally and as many staff as possible
3. A SACCO`s management should always be proactive and not wait to react to situations, such as retrenchment
4. Focus must be on financial services and should not diversify into non-financial business

Answer / Solution

UNSOLVED

Which of the following is not an important role of a central bank?

1. Overseeing  and regulating commercial banks
2. Being a banker of rural financial institutions
3. An advisor of the government on monetary policy
4. A manager and monitor of foreign currency

Answer / Solution

UNSOLVED

Which of the following is a strong reason for why agricultural lending is risky?

1. Agricultural enterprises have low turn-over
2. The biological nature of agricultural production and vulnerability to weather conditions, pests and diseases
3. Markets are the most unreliable compared to other sectors
4. It employs very many people

Answer / Solution

UNSOLVED

Identify one most important quality of a collateral

1. It should be easy to identify amongst many other items
2. It should be possible to liquidate it with ease
3. It should be perfected by all agencies
4. The spouse should agree that it be sanctioned against a loan even once

Answer / Solution

UNSOLVED