>>1842759its farely common for rear bike racks to be an afterthought
most are too close to the seat for a tall basket to fit, also there is not much clearance for the thighs
in addition many bikes have short chain stays, so there is heel strike onto all but the smallest pannier bags
the rack on your bike I have most often seen on bikes with 27 inch wheels, its a farely durable racks but somewhat small
upper attachment points on this bike are either the seat post bolt or the rear brake bolt hole.
for the best result you may need to fit a more adjustable rack,
but if a rack is not so adjustable you may be able to fabricate a customised bracket for the upper attachment point
1.5 to 3 mm ish thick steel plate, vice, hammer, drill press, basic stuff, although the bolts can be tricky
to mount a front rack on this bike would be a tricky endeavor
in order of steps
dismount the front and its attachment arm lamp for now
replace the tabbed washer of the upper crown race with an extended type, the type often used to mount lamps or reflectors
support the rack from underneath by using a steel plate that occupys where the lamp was once attached
strap basket on front rack, remount the front lamp and extend its wiring via soldering iron
it can be allot of messing about to get good functionality
not really a favourite job of mine when a customer asks for it to be done