Ajira Daily Tanzania

Banking A bank can be defined as an institution that accepts deposits from the public and gives out loans. However, this is also a broad sense of the many services the banking industry provides. In would not be incorrect to say that business and trade would come to a near standstill without banking services. A bank helps in running the economy by promoting various economic activities. It collects the savings of people and mobilizes them by turning them into capital for businesses and companies. Money lying idle is not good for the economy and the banks help generate wealth from savings. Quick summary with stories Introduction to Banking 2 mins read Types of Banks There are broadly four types of banks that function in India. They are as below, Commercial Banks: The main functions of these banks is to accept deposits from people and make loans to those that require finance. Private commercial banks focus on financial objectives and returns. Government-owned Public sector b...

Functions of an Insurance Company 1] Provides Reliability The main function of insurance is that eliminates the uncertainty of an unexpected and sudden financial loss. This is one of the biggest worries of a business. Instead of this uncertainty, it provides the certainty of regular payment i.e. the premium to be paid. 2] Protection Insurance does not reduce the risk of loss or damage that a company may suffer. But it provides a protection against such loss that a company may suffer. So at least the organisation does not suffer financial losses that debilitate their daily functioning. 3] Pooling of Risk In insurance, all the policyholders pool their risks together. They all pay their premiums and if one of them suffers financial losses, then the payout comes from this fund. So the risk is shared between all of them. 4] Legal Requirements In a lot of cases getting some form of insurance is actually required by the law of the land. Like for example when goods are in freight, o...