The Impact of Interest Rate on Profit among the United Arab Emirates UAE Small and Medium Companies

Abstract

Interest rate has long been reported by different classical and neo-classical economists. Interest rate but has been recognized as one of the factors that verify the economy savings level. Although many economical cases of inconsistent findings indicate that interest rate has a positive relationship with savings. This papers intends to highlight the prior research that conducted to demonstrate the impact of the interest rate on the profit differ by various variables. A qualitative method was used in this study to indicate the interest rate impact level on the UAE small and medium companies profit. A questionnaire was administrated among 20 users from different medium companies in UAE. The result revealed that interest rate was highly effects on the companies profit in UAE.

Keywords: Interest rate, profit, SME, business management, organizational behavior