Concept of Treasury

Traditional: Passive Modern: Active Strategic Dimension Cash Surplus Income in Foreign Exchange Investment in Money Market

Investment in Corporate Securities Cross Border investment Cross Border Borrowing Mergers & Acquisitions

Functions of Treasury

Framing Treasury Policies Establishing a Treasury System Liquidity Planning Portfolio Management Identification of Funding Agencies Foreign Exchange Dealings Organic & Inorganic Growth Risk Management

Integrated Treasury

Uniform Trading in Markets Around the World through the efforts of IOSCO Uniform Trading Practices in Organised Markets Integrated Treasurys Operations are Seamless

Functions of a Bank Treasury

Statutory Investment Management Funds Management Asset-Liability Management Risk Management Risk Weighted Capital Adequacy

Process of Globalisation

Funds Move Across the Border in Search of Best Terms Requires Reforming Financial Markets and banking Sector Overhaul of Regulatory Framework More Transparent Systems with Quick Settlements Nimble-footed Funds with Quick Mobility

Evolving Role of Treasury

Foreign Exchange Dealing Money Market Dealings Investment in Capital Market Securities Dealings in Commodities Exchange

Organisation of a Treasury

Centralised Treasury -Efficient use of funds -Risk Management -Easy Audit -Quarterly Audit Review -Call Money Operation -Maintenance of CRR

Decentralised Treasury -Frequent Remittances -Quick decisions -Responsibility of Branches -Diversification of Sources of Funds