Business Studies, asked by nishkhan, 1 year ago

explain the process of credit creation

Answers

Answered by Furious089
3
Hey user

Here's your answer____

 Credit creation is the most significant function of thecommercial banks. Commercial banks accept deposits and lend loans and advances. In thisprocess they create two types of deposits, namely primary deposits and derivative or active deposits.

Hope it helps☺☺

Regard
@Yusuf
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