MONETERY AND FISCAL TO COUNTRY MOHAMAD SANIY BIN MOHAMAD SIDEK (2017681886) INTEREST RATE TYPE OF INTEREST RATE
• The interest rate is the amount a lender charges a borrower and is a
percentage of the principal the amount loaned. The interest rate on a loan is typically noted on an annual basis known as the annual percentage rate • An interest rate can also apply to the amount earned at a bank or credit union from a savings account or certificate of deposit (CD). Annual percentage yield (APY) refers to the interest earned on these deposit accounts. MONETARY POLICY FISCAL POLICY IMPACT ZERO/NEGATIVE INTEREST RATE • The value of the currency will be dropped • Amount of tax payment will be reduced • Loose Monetary Policy