This need for repayment differentiates credit from subsidies, which are not repaid. 5.4.2 Sources and forms of credit Savings are the source of credit. As these savings may be used to provide credit, credit is linked to savings. They collect the savers' funds and lend them to the credit applicants. They buy and sell money.
Some countries set up special banks to finance women's special needs.
Access to bank or project credit has become a necessary prerequisite for income-generating activities. 5.4.3 Interest rates. Interest is intended to cover the lender's risks. For example, loans for animal traction or mills would be medium-term. The term of a loan is therefore usually based on the expected lifespan of the activity for which the loan has been requested, and the repayment time on the time it takes for that activity to begin producing a return.