Liabilities of Commercial banks

Liabilities of Commercial banks

Liabilities  are  claims  against  the commercial   bank,  that  is, what  the  bank  owes  to other  banks  and non-bank   institutions.    They include;

  1. Deposits of customers
  2. Deposits in the bank by other banks
  3. Money borrowed  from the Central banks
  4. Capital contributed   by shareholders   (Paid up capital)
  5. Acceptances, receivables and guarantees  on behalf of the customers
  6. Dividends  payable to shareholders
  7. Reserve funds.
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