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Suppose the maturities are as follows: Loans 1 year Bonds 2 years Demand deposits 0 Time deposits 6 months Inter-Bank debt 3 months Calculate the
Suppose the maturities are as follows:
Loans 1 year
Bonds 2 years
Demand deposits 0
Time deposits 6 months
Inter-Bank debt 3 months
Calculate the Gap by:
multiplying each asset by its maturity and summing them
multiplying each liability by its maturity and summing
subtracting the latter from the former
dividing by total assets
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