How bank should mitigate risks

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You are treasurer of a bank, in your bank Advance to deposit ratio is high (70%), investment to deposit ratio is low (30%). You are expecting liquidity crunch due to COVID-19 therefore depositors will take out their cash from your bank and want to spend. ( /5)

Required:

1. Elaborate in detail how you will handle situation.

2. List down the risk factors that your bank may face?

3. How bank should mitigate these risks?

Reference no: EM132635079

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