Lowering leverage means that enterprises or individuals reduce leverage by reducing the amount of loans or increasing the value of assets. This means reducing the risk of borrowing, reducing the financial pressure and the uncertainty of interest distribution. In the financial market, reducing the leverage ratio may mean reducing the risk of financial institutions, thus reducing the spread of financial risks.

Reducing leverage can also increase the credit and reputation of enterprises or individuals. When creditors and other institutions see that lenders can reduce their debts, they will be more willing to cooperate with debtors, which may lead to more favorable trading conditions and better loan standards.

Reducing the leverage ratio can also improve the cohesion and competitiveness of enterprises or individuals. If debtors reduce their debts, they may have more cash flow, which may lead to more investment and enhance market competitiveness. Similarly, individuals can gain more economic freedom and stability by increasing savings and reducing debts to adapt to the constant changes in the market and life.