This course has been written for students studying Principles of Economics for the banking certificate. The course aims to cover all the material contained in the Tanzania Institute of Bankers syllabus, the major areas of which are, How prices of commodities and services are determined, How the price, output, and profits of a firm are determined, How general price levels and national income are determined, How international trade in goods and services is developed and how international prices/exchange rates are determined, How economic theory applies to the financial services industry, The quantity of money and interest rates and The effect of government policies on banks and the rest of the economy.