GAP Analysis for Bank Liquidity Management

The aim of the work is to consider the methods of assessing the interest rate risk of a bank in its management system and, in particular, GAP analysis. The problem statement relies on the use of the former groups of tools in overcoming the crisis may not only be insufficient for solving the problems of managing assets and liabilities, but also is fraught with incorrect conclusions and actions, which subsequently have a negative impact on the interest income, liquidity and reliability of the bank. Thus, it is necessary to switch to a new, post-crisis concept of managing assets and liabilities of commercial banks. Methods of analysis of interest rate risk would stand as a main objective. Subject of research - the practical implementation of the method of GAP analysis in JSC Aloqabank. The results reveal that GAP analysis is one of the significant instruments for interest risk analysis for bank liquidity management.