Question

How credit contribute to national development

Answer 1

Credit is the most important part of the economy. ... If credit is used to purchase productive resources, it helps in economic growth and adds to income. Credit further leads to the creation of debt cycles.
Banks play two major, closely related roles in the economy. They serve to provide the loans that allow a great deal of consumption and investment to occur and they increase the supply of money. Lending money is a tremendously important activity for the economy. ... Banks lend money to allow them to do this.
A good credit score is important for anyone to have. Loans are a necessary part of life for most of us. Building a solid credit history and maintaining a high credit score can have a dramatic impact on your quality of life now and in the future when you're considering applying for a loan or even a prepaid debit card.