TABLE OF CONTENTS

CHAPTER NO.

TITLE ABSTRACT
LIST OF TABLES AND FIGURES

PAGE NO. iii iv v

GLOSSARY 1

INDUSTRY PROFILE
1.1 Historical phases of banking in India 1.2 Broad Classification of Banks in India 1.3 Role of Reserve Bank of India (RBI)

1-10

2.

Company profile of J&K bank

2.1 Company Snap shot 2.2 Products and Services offered

11-18

3.

Literature review
3.1 Risk and its typology 3.2 Bank regulation and Risk Management 3.3 Basel II- A banking revolution 3.4 Risk based regulatory capital allocation

19-42

4.

Liquidity risk
4.1 Liquidity risk 4.2 Measuring liquidity risk 4.3 Liquidity risk management techniques 4.4 RBI guidelines on liquidity risk management

43-55

5.

Data analysis and interpretation

5.1 Liquidity Stress Tests 5.2 Quantitative analysis of measuring liquidity risk CONCLUSION REFERENCES

56-60

ABSTRACT
This project report is aimed at providing a basic understanding of liquidity risk in J&K Bank. It gives a detailed account of the techniques of liquidity risk measurement and the quantitative analysis of liquidity risk by developing various stress scenarios and applying those stress scenarios to various liquidity parameters

LIST OF TABLES AND FIGURES

1.1Classification of Banks in India 2.1 Key Financial Indicators of J&K Bank 2.2 Income statement of J&K Bank 2.3 Balance sheet of J&K Bank 2.4 Table 2.4, Shareholding pattern of J&K Bank 3.1 Overview of Qualifying Equity Instruments 3.2 Conceptual Framework for the Basel II Accord 3.3 Summary of the Basel II Accord 3.4 Supervisory Review: Pillar 2 Components 5.1 Structural liquidity statement of J&K Bank 5.2 Revised inflows and outflows of the structural liquidity statement after applying the stress tests 5.3 Impact on capital due to fire sale of assets 5.4 Graphical representation of CRAR and additional liquidity gaps

GLOSSARY

CAR: IFCI: IDBI:

Capital Adequacy Ratio Industrial Finance Co-operation of India Industrial Development Bank of India

IIBI: SIDBI: NABARD:

Industrial Investment Bank of India Small Industries Development Bank of India National Bank for Agriculture and Rural Development

OECD:

Organisation of economic cooperation and Development

PD: LGD: EAD: VAR:

Probability of Default Loss Given Default Exposure at Default Value at Risk