Quiz: Microfinance and Small Business Basics
Correct Answers and Explanations
Question 1: What is microfinance?
Explanation:
Microfinance provides small loans and financial services to low-income clients and small businesses.
Question 2: When did microfinance start developing in Kyrgyzstan?
Explanation:
Microfinance started in Kyrgyzstan in the 1990s with international donor support.
Question 3: What are common types of microfinance institutions in Kyrgyzstan?
Explanation:
Kyrgyzstan has microcredit companies, microfinance companies, and credit unions.
Question 4: What is a major benefit of microfinance?
Explanation:
Microfinance helps reduce poverty by enabling small businesses to grow.
Question 5: Who benefits significantly from special microfinance programs in Kyrgyzstan?
Explanation:
Special programs support women entrepreneurs, especially in rural areas.
Question 6: What legal document regulates microfinance institutions in Kyrgyzstan?
Explanation:
The Law on Microfinance Organizations regulates MFIs.
Question 7: What is one way microfinance helps rural clients in Kyrgyzstan?
Explanation:
Digital services like mobile loan repayment make access easier.
Question 8: What is a typical legal form for small business registration in Kyrgyzstan?
Explanation:
Small businesses often register as sole proprietorships in Kyrgyzstan.
Question 9: How does microfinance contribute to economic development?
Explanation:
Microfinance encourages entrepreneurship and job creation.
Question 10: Which sector is a major focus for microfinance loans in Kyrgyzstan?
Explanation:
Many loans support livestock and agriculture clients.