Capital markets play a crucial role in the global economy by providing a platform for businesses, governments, and other entities to raise capital for growth and development. These markets enable investors to buy and sell securities, such as stocks and bonds, and help allocate financial resources efficiently across various sectors. By offering businesses access to funding and giving investors opportunities to earn returns, capital markets are essential for economic expansion and wealth creation. The primary components of capital markets include the equity market, where companies issue stocks to raise capital, and the debt market, where entities issue bonds to borrow money. Both markets allow businesses to secure the funds they need for expansion, acquisitions, research, and development, while giving investors the opportunity to participate in the success of those businesses.