DOI:

Abstract

Liquidity and liquidity risk management are vital for safe operations of any commercial banks. Many of them are now facing liquidity strains and forced to seek alternative financial support due to intense competition for deposits. Unbalanced liquidity is the first sign of financial instability. The development of financial markets has entailed a corresponding rise in chances and risks of liquidity management. This presents the importance of estimating liquidity demand by means of enduring and low-cost approaches in order to sponsor banking operations in the increasingly competitive climate.

Keywords

Liquidity; Risk; Management; Assets; Liabilities.