5 Reasons Why Lower Interest Rates Could Boost The Cannabis Industry
As inflation hits its lowest level since 2021, the cannabis industry could see substantial benefits from potential interest rate cuts. With the U.S. annual inflation rate dropping to 2.5% in August 2024, here’s how lower rates could help cannabis companies grow:
1. Lower Borrowing Costs
With inflation cooling and the prospect of interest rate cuts, cannabis companies could see reduced borrowing costs. This is especially important for an industry reliant on debt due to limited access to traditional banking. Reduced interest payments free up capital for expansion and innovation.
Get Benzinga’s exclusive analysis and the top news about the cannabis …