With reference to the revised Priority Sector Lending (PSL) Guidelines, which of the following statements are correct?
1. Housing loans have decreased and agricultural loans have increased in rural areas.
2 Renewable energy projects by individual households up to ₹50 lakh qualify under the priority sector.
3. Transgenders have been included in the expanded category of ‘Weaker Sections’ under the PSL framework.

Select the correct answer using the code given below:
(a) 1 and 2 only
(b) 2 only
(c) 3 only
(d) 1, 2 and 3

Question

With reference to the revised Priority Sector Lending (PSL) Guidelines, which of the following statements are correct?
1. Housing loans have decreased and agricultural loans have increased in rural areas.
2 Renewable energy projects by individual households up to ₹50 lakh qualify under the priority sector.
3. Transgenders have been included in the expanded category of &lsquo;Weaker Sections&rsquo; under the PSL framework.

Select the correct answer using the code given below:
(a) 1 and 2 only
(b) 2 only
(c) 3 only
(d) 1, 2 and 3

ONLiNE UPSC · Accepted Answer

The Reserve Bank of India (RBI) has introduced new guidelines for Priority Sector Lending (PSL). The revised framework, which replaces the 2020 directions, seeks to improve access to credit for essential sectors of the economy while ensuring financial institutions meet their social responsibility targets.

Statement 1 is incorrect: One of the most significant revisions is the enhancement of loan limits under PSL. Housing loans have been increased to provide greater financial access for individuals, particularly in urban and rural areas. In addition, the RBI has broadened the purposes for which loans can be classified under the 'Renewable Energy' category, encouraging investments in clean energy projects.

Statement 2 is incorrect: The RBI has broadened the purposes for which loans can be classified under the 'Renewable Energy' category, encouraging investments in clean energy projects.Upto ₹35 crore for renewable energy-based power generators and for renewable energy based public utilities such as street lighting systems, remote village electrification. The limit is ₹10 lakh for individual households.

Statement 3 is correct: Weaker section now includes Transgenders along with earlier categories of:- Small and Marginal Farmers, Distressed farmers indebted to non-institutional lenders, Artisans, Individual members of SHGs or Joint Liability Groups, Scheduled Castes & Scheduled Tribes, Persons with disabilities, Minority communities notified by Government of India

Priority Sector Lending (PSL) Guidelines

Revised Guidelines and Inclusions

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M Question 1	⏱ 0
With reference to the revised Priority Sector Lending (PSL) Guidelines, which of the following statements are correct? 1. Housing loans have decreased and agricultural loans have increased in rural areas. 2 Renewable energy projects by individual households up to ₹50 lakh qualify under the priority sector. 3. Transgenders have been included in the expanded category of ‘Weaker Sections’ under the PSL framework. Select the correct answer using the code given below: (a) 1 and 2 only (b) 2 only (c) 3 only (d) 1, 2 and 3