The study examines the role and function of credit in industry, focusing on the economic system of the German Democratic Republic (GDR). It begins by analyzing credit as an objective economic category, defining socialist principles for granting credit, and highlighting the significance of credit planning for industrial development. The study also reviews the banking system connected with industry in the GDR, covering the German Bank of Issue and the German Investment Bank and their roles in financing industrial projects. The study concludes with final remarks emphasizing the importance of credit planning and organization in achieving sustainable industrial development.