Cheaper Loans: Banks borrow at lower costs and offer loans at lower interest rates to people and businesses.
Increases Spending: Low loan rates encourage households to buy homes, cars, and goods.
Encourages Business Investment: Companies can invest in new projects and expand operations due to cheaper credit.
Supports SMEs and Agriculture: Small businesses and farmers get affordable loans for working capital and production.
Improves Liquidity: More money circulates in the economy, helping banking operations and credit flow
