Author(s)
Dr. RAYGANI PATHI
- Manuscript ID: 140411
- Volume: 2
- Issue: 6
- Pages: 1545–1563
Subject Area: Management
Abstract
The present study has been undertaken as very few studies were found on risk management in banking sector. To study the risk management in banking sector, liquidity risk ratios for the ICICI BANK have been studied and analyzed. ICICI BANK is selected for the study, because RBI designated SBI and ICICI Bank as Domestic Systemically Important Banks (D-SIBs) due to their size, cross-jurisdictional activities and complexity. The statistical tools such as percentages, averages, compound annual growth rate, and annual growth rate have been used to analyze the collected data. The period of study covers a seven years period i.e., from 2007 to 2013, since, in 2005 the RBI issued the first draft guidelines on Basel II implementation in which an initial target date for Basel II compliance was set for March 2007 for all commercial banks. Ratios are used to measure the liquidity risk in State Bank of India. The liquidity risk ratios can be used as a proxy for measuring the magnitude of liquidity risk in ICICI Bank and also to control, monitor and maintain CAR at levels prescribed by the RBI.