Question

Discuss two ways in whuch credit play san important role in a ecomomny

Answer 1

Credit plays an crucial role in country's development.This can be concluded by

1)By sanctioning loans to developing industries and trade,banks,provide them with necessary aid for improvement.This lead to increase in profit,production and employment

2)Without a credit a small company cannot grow to become a bigger company.Farmers can't go for large scale farming in absence of credit facilities.