Rate-Sensitive Assets and Liabilities by Time Bucket

Rate-Sensitive Assets and Liabilities by Time Bucket - Article

This article explains how banks identify and place Rate-Sensitive Assets, Rate-Sensitive Liabilities and relevant off-balance-sheet positions into interest-rate time buckets. It covers RBI’s current Interest Rate Sensitivity buckets, residual maturity versus repricing date, fixed and floating-rate products, behavioural assumptions, positive and negative gaps, and practical CAIIB case situations involving NII sensitivity.