The equation a = 1300(1.02)7 is being used to calculate the amount of money in a savings account. what does 1.02 represent in this equation?

For this case we have an equation of the form:
 y = A * (b) ^ t
 Where,
 A: initial amount
 b: growth rate
 t: time
 The given equation is:
 a = 1300 (1.02) ^ 7
 Where,
 b = 1.02
 It represents a growth of 2% on the initial amount.
 
 1.02 represented in this equation a growth of 2% on the initial amount.