IMPROVING THE MECHANISM FOR FORMULATING AND MANAGING DEPOSIT POLICY IN COMMERCIAL BANKS

Abstract

This article examines the essence, structural design, and operating procedure of the mechanism for formulating and managing deposit policy in commercial banks. The mechanism is substantiated as an integrated system comprising regulatory and legal, institutional, instrumental, and information-analytical blocks. The powers of management bodies are systematized, and the stages of the continuous deposit policy management cycle are described. The article considers funds transfer pricing, interest-rate setting, systems of limits and stress testing, as well as the management of customer segments and distribution channels. Criteria for assessing the maturity of the mechanism and typical shortcomings encountered in practice are identified, and proposals and recommendations aimed at addressing them are developed.