The interest rate is properly governed by people (Egoras holders) and no organization or bank determines the interest rate attached to any particular loan. The interest rate governance is also used in the stabilization of EUSD stable coin. When EUSD is going lower than the pegged price(1 EUSD= 1 USD), Egoras holders will vote on the increment of the interest rate. On the other hand, when the EUSD stable coin is going higher than the pegged price then Egorasholders will vote on the decrement of the interest rate.
The microfinance banks or NGOs approved by Egoras holders borrow directly from the Egorasmicrofinance protocol to lend to their users at a lower interest rate (Central Bank Rate) and these will reduce the dependency of microfinance banks and NGOs on commercial banks and private institutions.