IMPLICATIONS OF INTEREST RATE RISK IN INDIAN COMMERCIAL BANKS

Abstract

Recently, due to various scams existed in the banking sectors, The Reserve Bank of India clearly stated that there is a necessity to carry-out the study on the subject of “Risk Management in Banks” and  has issued a number of regulations covered with the various aspects of risk management, The measurement of interest rate risk is essential to establish the risk management process in commercial banks. The prudence level of interest rate risk is an essential determination for all the risk management process.