Employment of Funds and Forms

of Advancement
Introduction

Definition of Employment of
FundsImportance of Proper Fund
Utilization in Banking
Forms of Advancement
Loans
Definition and Types (e.g.,
Secured, Unsecured,
Demand Loans)
Regulations and Legal
Considerations
Risk Assessment and
Mitigation
Overdrafts
Discounting of Bills
Advances Against
Collateral
Investments
Permissible
Interbank
Placements Reserve
Requirements
Legal Framework
Regulatory
Authorities
Governing Fund
Utilization Statutory
Requirements and
Compliance
 Conclusion
The employment of funds and forms of
advancement are not merely technical
exercises but ethical imperatives for
banking institutions. By adhering to legal
requirements, implementing best practices,
and prioritizing risk management, banks
can uphold their fiduciary responsibilities
and contribute to the stability and
prosperity of the financial system.
Thank You