Asset Liability Mismatch- An Empirical study on nationalized commercial banks in Bangladesh

Liquidity Management is an integral part of monetary management. Liquidity management, and ensuring sustainable solvency are the two core prerequisites for the smooth functioning of banks in the long run. The

balancing act between a bank’s liquidity and its role as a liquidity creator, especially in tim

es of financial distress or crisis is the focus of this paper. The data was collected mostly from the annual reports of the selected banks. Liquidity has been analyzed by using gap analysis. The CV (Coefficient of variation) has been used to analyze the volatility of liquidity in the selected gap. The analysis showed that Sonali Bank suffered the highest negative liquidity gap among the banks. Bat the gap was highly volatile in the case of Agrani Bank Ltd. On the other hand, there is a statically significant difference among the banks in terms of variation in Liquidity