Page 70 - GTBank Annual Report 2020 eBook

Gambia. Details of the Bank's ratio of net liquid reporting date and during the reporting period
assets to deposits and customers at the were as follows:

Dec.-2020 Dec.-2019
At end of year 84% 92%

Average for the year 84% 83%
Maximum for the year 86% 92%
Minimum for the year 81% 78%

i) Funding Approach responsibility of managing the Bank's daily
liquidity position. A daily liquidity position is
The Bank's overall approach to monitored and regular liquidity stress testing is
funding is as follows: conducted under a variety of scenarios covering
both normal and more severe market conditions.
1. Generation of large pool of low cost deposits. All liquidity policies and procedures are subject to
2. Maintenance of efficiently diversified sources review and approval policies and procedures are
of funds along product lines, business segments subject to review and approval by ALMAC. The
and also regions to avoid concentration risk. Risk Management Bank sets limits which are in
conformity with the regulatory limits. The limits
The bank was able to meet all its financial are monitored regularly and exceptions are
commitments and obligations without any liquidity reported to ALMAC as appropriate. In addition
risk exposure in the course of the year. gap reports are prepared monthly to measure the
maturity mismatches between assets and
The bank's Asset and Liability Management liabilities. The cumulative gap over total assets is
Committee (ALMAC) is charged with the not expected to exceed 20%.

Gross nominal (undiscounted) maturities of financial assets and liabilities
Dec-2020
Gross Less More
Carrying nominal than 3 to 6 6 to 12 1 to 5 than
In
thousands
of Gambian inflow/ 5
Dalasi amount outflow 3 months months months years years

Financial
assets
Cash and
cash
equivalents 1,752,121 1,752,121 1,752,121 - - - -
Financial
assets held
for trading - - - - - - -
Derivative
financial
assets - - - - - - -
Debt
instruments: Annual Report 2020

Guaranty Trust Bank Gambia Limited www.gtbankgambia.com 68