A bank is a financial institution that accepts deposits, makes loans, and offers various other financial

services to its customers. Banks play a vital role in the economy by facilitating the flow of money and
credit, and by providing a safe and convenient place for people to save and invest their money.

Banks primarily generate revenue through the interest charged on loans, as well as fees for various
services such as account maintenance, wire transfers and ATM usage. They also make money by
investing the money deposited by their customers in various financial instruments such as stocks, bonds,
and real estate. Banks are regulated by government agencies to ensure that they operate in a safe and
sound manner, protect customers' deposits and promote fair and transparent banking practices.

Banks have evolved over time, with the advent of technology they are now providing more digital
services to their customers, such as online banking, mobile banking and ATMs. This allows customers to
access their accounts and make transactions at any time, from any place. Banks also use technology to
improve security, reduce costs and increase efficiency, such as using AI and biometric authentication for
customer’s identification.

Additionally, Banks also play a significant role in the global economy by facilitating international trade
through letters of credit, foreign exchange services and other financial instruments. They also serve as
intermediaries between borrowers and investors, connecting those who need money with those who
have money to lend. Overall, banks play a vital role in the economy by providing a wide range of
financial services that are essential for individuals, businesses, and the entire economy to function
efficiently.