Which of the following banks has signed a loan of $40 million to Northern Arc Capital to support the microfinance borrowers and the MSME sectors in India?

This question was previously asked in
SSC CHSL 2020 Official Paper 18 (Held On: 4 Aug 2021 Shift 3)
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  1. ADB
  2. IMF
  3. World Bank
  4. AIIB

Answer (Detailed Solution Below)

Option 1 : ADB
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Detailed Solution

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The correct answer is ADB.

Key Points

  • The  Asian Development Bank (ADB) signed a $40 million loan to Northern Arc Capital Limited (NACL) to support the livelihoods of microfinance borrowers and MSMEs in India.
  • The loan is disbursed to NACL as part of ADB's ongoing COVID-19 response.
  • NACL will on-lend the loan proceeds and provide guarantees to financial institutions and individual borrowers.

Additional Information

  • ADB:
    • Headquarters - Mandaluyong, Philippines.
    • President - Masatsugu Asakawa. (Feb 2022)
    • Founded On - 19 December 1966.
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