The Impact Of The Of Commercial Bank In Economy, Any Suggestion?

Commercial banks play an important role in the economy like to a great extent they control the supply of money in the market by issuing cheques and bank drafts. They also store money that is deposited by the consumers, which can be further lend to the investors. These banks also provide letter of credit which controls the trade transactions across the national borders. Commercial banks also provide currency exchange options which increases their position as an important institution in the economy. Commercial banks are not investment banks therefore, they are responsible to provide financial services to the consumers. In this way they can help in monetary circulation in the economy.