Question

Discuss ways in which credit play an important role in economy

Answer 1

here is your answer

credit plays an important role in fulfilling people's need such as raw material, working capital etc.

Banks help the local peasants farmer's, and poor people who are in need of money by availing them with loan at cheaper rate so that they can make good profit out of it.

credit helps in increasing the income of each individual which will inturn contribute to the GDP of the country that is helps in the development of the country.

Banks also help in establishing large scale industries which increases profit in foreign exchange ratio.

hope this can help

Answer 2

Here is your answer buddy... Refer to the attachment... :)