Question
Discuss five roles played by commercial banks in facilitating home trade.
Answer
- Lending in terms of direct loans, overdrafts, discounting bills of exchange.
- Transfer of money in terms of cheques, standing orders, credit transfers, telegraphic transfers etc.
- Collecting money on behalf of traders.
- Remitting money on behalf of traders.
- Providing custody of valuable documents of traders.
- Selling shares on behalf of businesses.
- Providing useful advice.
- Acting as referees on behalf of businesses.
- Providing night-safe services.
- Acting as guarantors for traders.
- Sale of foreign currency to traders.
- Transfer of money in terms of cheques, standing orders, credit transfers, telegraphic transfers etc.
- Collecting money on behalf of traders.
- Remitting money on behalf of traders.
- Providing custody of valuable documents of traders.
- Selling shares on behalf of businesses.
- Providing useful advice.
- Acting as referees on behalf of businesses.
- Providing night-safe services.
- Acting as guarantors for traders.
- Sale of foreign currency to traders.
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