Fund Transfer Pricing (FTP) is both a regulatory requirement and an important tool for managing a Bank’s balance sheet structure. It takes into considerations of liquidity risk, maturity transformation and interest rate risk. It allocates cost/income and associated risk among the originating business units/Branches through Treasury Division.

Citizens Bank FTP rate will be fixed by the ALCO based on the market rate of deposit and loans & advances as well as demand & supply of loan & deposit which escalate proficiency of sourcing and using of funds and support to identify the key drivers of profitability within the entire bank.