Interest

An interest in law is a legal right or share in something or a financial involvement in something; In finance, it is a fixed fee for borrowing money; Usually a percentage of the amount borrowed.

Interest represents the cost of borrowing money or the return earned on lending or investing capital, typically expressed as a percentage.

- Used in treasury and financial management for funding, investment, and risk decisions.
- Used to evaluate cash flows, financing costs, and capital structure.

- Example: Finance teams use **Interest** when planning funding needs and managing cash and risk.

- Why it matters: Supports liquidity and risk control and improves the quality of financing and investment decisions.