However, access to credit institutions varies considerably

Raising funds through the issue to market its own debt (bonds, certificates and other papers) has not yet been a significant development. The market of such tools is in its infancy, and it addressed a limited number of paper banks. Obviously, the capacity and efficiency of the place is still lacking. In a crisis, these tools can be more attractive than fixed-term deposits, but their actual liquidity is unlikely to be sufficiently high. The choice of source is influenced by such characteristics as availability, cost, maturity, duration of liquidity needs, regulatory rules. The main advantage of this method is a higher level of expected return than assets in liquidity management. The ability to place certificates of deposit and receive a credit or currency funds with the Central Bank allows the bank to be less dependent on low-income secondary reserve assets, as it expands its ability to turn a profit. At the management of liquidity through liability management is assessed as very risky strategy, as accompanied by an increased risk of interest rate risk and the availability of borrowed funds. The main drawback of this approach is that funds are raised without the effectiveness of different areas of their deployment. During the economic recovery and growth in demand for credit resources, this approach can be justified and useful. But with a decrease in activity when the demand for credit decreases, this approach usually leads to reduced profits and may even cause harm. In addition, this approach is characterized by a number of significant drawbacks, including: failure to obtain liquidity in sufficient quantities and within a specified time, especially for banks that have lost or do not have a reputation as a trusted financial institution; Category: Management Operations Commercial Bank