Banks Are Caterers For The Economy Of A Country

The banking industry has over the years evolved from simple to large and complex organization. They have grown from one street building into having multiple branches some of which are international. Their clients range from individual and institutions to governments and other banks. Banks do not manufacture physical things. Their work is simply services for money (Koch & MacDonald 2010). Such services include storing, lending and managing money. All people and institutions, as well as governments, need money to operate accordingly.

During the twenty years it was in place the First Bank did change the economic downturn of the country after the war. The First Bank had branches in eight influential port cities and had a wide geographic existence. It influenced the lending policies of the state banks’ lending practices. The First Bank was like the state banks in that it made business loans, accepted deposits, and issued notes that circulated as currency and were convertible into gold or silver. But it differed from the state banks because its

A sound banking system promotes economic well-being by providing them short, medium and long- term loansEconomic Prosperity: A sound banking system promotes economic well-being by providing them short, medium and long- term loansEconomic Prosperity: A sound banking system promotes economic well-being by providing them short, medium and long- term loans. Economic

What does banking mean to you? To me, banking is definition of making our lives more accessible and simple. Not having the ability to use any banking capabilities made me realize how I rely on banking and lending services. This experience absolutely made me think twice about spending my money. Spending cash is always more difficult than swiping a card. When you swipe your card, you don’t really get to understand how much you’re spending on something until you pay with cash. This whole experience without banking or lending services offered me a true meaning of bank, cash and the value of money.

Banks have been around since hard money came to be. This was in the Ancient Empires of Greece, Egypt and Rome. However, banks at that time weren’t as the ones we know today because first, banks were only used by wealthy people. Then the term banks comes from those wealthy people storing their coins in their temples where they trusted the noble priests that lived there.

Banking can be defined as a process through which the finances of a country is controlled and created. These finances are loaned to gain profit through interest. In recent times banks perform varied functions like ATM cards, safeguarding of valuable things, providing lockers, credit cards and online banking. Banks and banking Katy and in other American cities has helped the world economy. The simple method of safeguarding money and lending it to the borrowers leads to a productive flow of money. This process has helped in the development of economies of varied countries.

The Merriam Webster dictionary defines the noun “bank” as “an establishment for the custody, loan, exchange, or issue of money, for the extension of credit, and for facilitating the transmission of funds.” In essence it is an institution that serves as a medium of flow of funds between users and savers. A bank is a financial institution that links the flow of funds from savers to users and back. For the purpose of this audit report we will broadly classify banks into two major categories: commercial banks and investment banks.

One of the functions of the financial institutions is Commercial Banks. Commercial banks will accept deposits and provide very good security and make it suitable for their customers. This is just a normal role for the bank to give their customers money safe so that their customers don’t have to physically keep their belonging in their home or on them (APB, 2001). With having commercial banks there is no need to keep large amount of money in hand because the banks can handle it such as online banking, checks, debit card or credit card.

Economic Development: Banks facilitate the development of saving plans and are instruments of the government’s monetary strategic policies among others. They also provide credit provision, liquidity provision, and risk management services, remittance of money, rapid economic development, and promotion of

There is acute shortage of capital and led People lack initiative and enterprise. Means of transport are undeveloped and Industry is also depressed. Keeping this in view, commercial banks play a major role by lending hand in overcoming these obstacles and promoting economic development

The paper overviews the banking sector reforms within the framework of the Nigerian Financial System. A theoretical approach was adopted although empirical evidence was presented in some cases. It was clear that developments in the banking sub-sector of the Nigerian financial system have contributed to some extent in promoting economic growth and development in the country. However, the operations of some of these institutions were characterized by inefficiency and ineffectiveness. It was also found that the challenges facing

In the modern scenario India now competes the global world. Company having more challenging and take part to global completion. The Banking conditions in the country are far better to any other country in the world. Banking Industry has also become more powerful in this scenario. It has also many challenges faces to local level to state and national level. Banks Credit and liquidity risk studies suggest that Indian banks are generally elastic. Indian banking industries witnessed adopt innovative banking models like credits (i.e. advances) and small finance banks. RBI’s new measures may helping the restructuring of the domestic banking industry. Banking is the credit creating sector. Contributions of banks to the GDP of a country includes Credit creation, Banks nowadays perform various

Banking is an old aged idea. It was around in the ancient Mesopotamia era. Martin A. Armstrong states, Mesopotamia illustrated all the modern practices such as, deposits, interests, loans, and letters of credit.” Armstrong also mentions how the ancient Egyptians showed signs of the banking. To quote Armstrong, “Egyptian sources also show that a vibrant banking industry emerged whereby the state provided warehouses in which farmers deposited their grain. In turn, the farmer would receive a “deposit receipt” reflecting how much wealth was held by the bank in question. Such written receipts eventually became used as a general method of making payment of debts to third parties during the Ptolemy era including trade, taxes and donations to the gods.” These banking ideas can be linked to money and how money has changed the power of people and countries. It can be proven throughout the history of that money, power, and banks are directly related. The banks and money relate to power because the more economic strength a country has the more they can do military wise. It can also be proved over time that money and power create issues that can be counterproductive to society.

Bank: - is an establishment authorized by a government to accept deposits, pay interest, clear checks, make loans, act as an intermediary in financial transactions, and provide other financial services to its customers.

Finance is assumed to be one of the most important tools for the growth and poverty improvement in a country. Financial inclusion is a vision for every country to achieve so that it can provide quality services to its citizens. Govt. Has introduces many schemes to achieve the aim of Inclusive growth and abandoned access to Financial services. Many initiatives, schemes and reforms have been put into the place after independence. Many Cooperative Banks where introduced to supply credit for farming purpose and for this cooperative banks came into existence immediately after Independence and further it was followed by the nationalization of many banks and priority sector lending and subsequently. Indian shifted from an agriculture economy to Industrial economy and later to Services sector Economy, but center of attention shifted from subsidized credit and to important sector lending to enterprise driven.