Economy, asked by awesomeanjali520, 10 months ago

How is the credit a Crucial Element In The Economic Development

Answers

Answered by habibqureshii
3

Hey there,

Credit is a crucial element in the economic development. Cheap and affordable credit plays a crucial role for the country’s development. Following are the reasons why,

Credit plays a major role in the development of a country of creating better facilities for agricultural and industrial activities.

Credit helps people from all walks of life in setting up their business and increase their earnings.

For middle-class people, loans help a lot in constructing their houses and get rid of monthly rents.

Credit or loans help in raising the standard of living and social status of the common man by enabling them to buy cars, scooters, televisions and other products.

I hope the answer is helpful.

Please make my answer Brainlist

Answered by nasirulhaq6595
1

Answer:

HERE IS YOUR ANSWER DEAR..

Explanation:

Credit plays a crucial role in economic life. Some time it plays a negative role some time positive.

Positive Role:

1. Sometimes credit helps to increase earnings makes the person better than before.

2. Credit helps the person to enhance his business his economic condition.

Negative role:

1. Some time person borrow money to increase his business or for personal use.

2. If the borrower fails to pay back the borrowed money, it pushes the person in to bank trap.

To repay the loan the borrower has to sell his land or the lender detained the collateral.

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