Question

What are the important of financial institution in a economy

Answer 1

institutions on economic performance is extraordinarily important. ... An efficient financial sector reduces the cost and risk of producing and trading goods and services and thus makes an important contribution to raising the standard of living

Answer 2

Question: What is the importance of financial institution in an economy?

Answer:

There are different types financial institutions in our economy which deals with a large amount of money in the financial market.

Various importance of these institutions are:

1)They provide economic loans to various persons or organisations.

2) They provide financial interest to the money deposit accounts.

3) They can control and manipulate the money flow in an economic market.