Multiple choice

What encouraged the rise of the banking system in India?

  1. Asoka's edicts

  2. wealthy landowners

  3. increased trade

  4. Chrandra's debits

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

The dramatic expansion of domestic and international trade, especially along the Silk Road, led to the rise of banking in India. Merchants needed loans to finance their long voyages, and bankers charged interest on these loans, establishing a formal financial system.