The purpose of the Asset and Liability Management Committee (ALCO) is to achieve sustainable and stable profits within a framework of acceptable financial risks and controls, by adding value to the business through the management of liquidity, interest rates and foreign exchange risks, balance sheet structure as well as capital management.
“The Ministry of Finance has pleaded with President Akufo-Addo not to assent to the recently passed anti-LGBTQ bill by Parliament. In a press released on Monday, March 4, the Finance Ministry cautioned that approving the bill could result in significant financial consequences for Ghana.”
Later in the afternoon of the day of the press release by the Ministry of Finance, the treasurer of the bank requested that you convene an emergency ALCO meeting to be held on Tuesday, March 4 at 3:00pm to consider current developments in the country, their possible impact as well as interventions to be pursued by your bank.
Consider that you are the ALM Manager of a named bank in Ghana.
Based on your knowledge of the ALM process, composition of ALCO and your current role, are required to produce the following documents to the Bank of Ghana examination team on a site visit: –
1. Powerpoint slides presented to lead discussions during the ALCO meeting
2. The ALCO minutes prepared after the meeting
Good Luck.