A Study on Liquidity Risk Management: A Comparative Study on Selected Public & Private Sector Banks In India

Authors

Dr. Tejaswini Bastray, Assistant Professor,
Jain deemed to be University online, Bangalore- 560 011, India.

Abstract

For the economy to run smoothly, the banking sector must maintain a healthy liquidity position. Liquidity risk is produced when a bank fails to manage its liquidity, which raises the likelihood of default in the financial sector. In actuality, the primary cause of all adverse occurrences throughout Insufficient liquidity in the Indian banking sector contributed to the most recent financial crisis. Consequently, it is very It's crucial to research the factors influencing bank liquidity. The current study is to examine both common and uncommon factors impacting bank liquidity while taking into consideration the Indian Banking Industry as the target population 2011-2021. T test is used to analyse the effects of various bank-specific factors on the banks' liquidity risks.