What factors determine interest rates?

From the factors that determine interest rate:

The central bank's decision to encourage investments

The economic shrinking / recession which usually brings interest rates down

The economic prosperity which makes capital competitive and raises interest rates up

Thanks for the invitation

 I agree with the answer by Mr.Nuridin Islam Diab

Inflation

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cost

net income

As interest rates are a major factor of the income you can earn by lending money, of bond pricing and of the amount you will have to pay to borrow money, it is important that you understand how prevailing interest rates change: primarily by the forces of supply and demand, which are also affected by inflation and Government polices