Abstract

The study aimed to analyze the effect of interest rate and inflation on bank credit and to answer the study’s questions. Regarding the theoretical framework of the study, the two researchers relied on the literature and related previous studies. As for the practical framework, the two researchers have relied on the descriptive and analytical approach of the study, where the study studies interest rate and inflation as independent variables, bank credit as a dependent variable, and the existence of a balanced relationship between bank credit and interest rate, the rate of inflation. A direct balance between the inflation rate and bank credit, and that bank credit has an effective role in increasing economic and investment activity in the economy. The study recommended the need to pay attention to bank credit and help decision-making bodies and provide the Saudi Library with sober scientific research in the aspect of bank credit.