Which of the following definitions best describes the concept of microfinance?
1
A microfinance institution is a company registered under the Companies Act, 1956, and engaged in the business of loans and advances and acquisition of shares/stocks/bonds/debentures/securities issued by the government.
2
Microfinance is a banking service provided to unemployed or low-income individuals or groups, who otherwise would have no other access to financial services.
3
A microfinance institution is a digital-only and mobile-first bank.
4
Microfinance refers to providing banking services to individuals living in rural areas.