Write a brief description of the types of banks.

Banks are financial intermediaries that facilitate the transaction of money in an economy. There are several functions of banks, but the main function are to accept deposits from people and providing loan to them.

Commercial Banks:

These types of banks provide short-term credit, i.e., lend money for short periods.

Exchange Banks:

Exchange banks finance mostly the foreign trade of a country. Their main function is to discount, accept and collect foreign bills of exchange.

Industrial Banks

Industries require capital for a long period for buying machinery and equipment. Industrial banks provide this type of capital to the industries.

Agricultural or Co-operative Banks:

The main business of agricultural banks is to provide funds to farmers.

Savings Banks:

These banks perform the useful service of collecting small savings.