How banks facilitate economic

growth by providing financial

services to producers?
By Veer Pachore
Myp – 4
5-10-23
What are banks?
• A bank is a financial institution licensed to receive deposits and make
loans.
• There are several types of banks including retail, commercial, and
investment banks.
• In most countries, banks are regulated by the national government or
central bank.
• The primary role of a bank is to keep money safe, increase it as per
the rate of inflation and give out loans for collecting it back with
interest.
What is economic growth?
• Economic growth is the increase in the economy of a country or a
person.
• The increase in the production of goods and services per head of
population over a stated period of time is called as economic growth.
• This states that the more goods that are made, for every person
working in a country and how much time did it take for the increase
or decrease.
• Meaning that economic growth is depend on the overall well being of
a country and how much does its currency count in the global market,
due to the production of costly goods or products that are useful.
What are financial services?
• Financial services are the services done by institution or some people,
which help for the economy to grow and these services are helping the
countries to grow in economy.
The financial servers basically :-
• Accept deposits and repayable funds and make loans, meaning providers
pay those who give them money, which they in turn lend or invest with the
goal of making a profit on the difference between what they pay depositors
and the amount they receive from borrowers.
• After this profit is made, the economy is bound to grow, because the loan
given out comes back with interest, which means the amount is higher and
the things for which the loan was used also has to make goods to sell.
What are producers?
• Producers are people who make or grow goods and provide services.
• Sometimes they are called workers, and they help us do things.
• For example, a farmer, he gives us crops which are then refined for us
at the factories and then are consumed by us after we buy them.
• The person who makes goods in a raw state is the producer.
• Factories or industries cannot be called as producers, as the goods
that they refine come from people, as raw materials.
How do these points connect?
• They connect because :-
Bank is a financial service , that facilitates economic growth and helps
producers for making goods.

Meaning that Bank helps the country to grow economy, the country
provides financial services, from people and other companies, which
then the producers can use to make goods for international trade, to
increase the economy or currency rate of the country.
 BIBLIOGRAPHY
• Citation:-
• https://www.imf.org
• https://ourworldindata.com
• https://www.unitedway.org
• https://www.dictionary.com
• https://www.cisa.gov
• https://www.Investopedia.com
THANK YOU!!!!