Economics · Economy
What is the primary operational advantage of working capital loans for MSMEs?
- 1They provide flexibility to meet short-term operational and liquidity needs✓
- 2They are intended to finance long-term fixed infrastructure assets
- 3They offer lower interest rates than all types of term loans
- 4They never require collateral under any institutional banking terms
Correct answer
They provide flexibility to meet short-term operational and liquidity needs
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