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Commerce · Ch 1 — Financial Markets

Capital Market

1.3

Capital Market

The term capital market refers to the facilities and institutional arrangements through which long-term funds — both debt and equity — are raised and invested. It consists of a series of channels through which the savings of the community are made available for industrial and commercial enterprises and for the public. It directs these savings into their most productive use, leading to the growth and development of the economy. The capital market consists of development banks, commercial banks and stock exchanges. …