Question

How do remittances impact the rural economy of Kerala?

• A. They increase the state’s dependence on agriculture
• B. They fuel investment in real estate and healthcare services in rural areas
• C. They lead to rural depopulation
• D. They cause a decline in local agricultural production

Answer 1

Answer:

B. They fuel investment in real estate and healthcare services in rural areas

Remittances sent by expatriates, especially from the Gulf countries, contribute significantly to Kerala’s rural economy. These funds are often invested in real estate, healthcare, education, and consumer goods, boosting the overall economic activity in rural areas.