Deposits
in sentence
467 examples of Deposits in a sentence
To avert a devastating bank run, the government guaranteed the entire outstanding stock of
deposits
and liabilities.
Narrow banking, which entails retail
deposits
being kept in distinct entities, backed only by safe and liquid assets like government bonds, does not fare well under the All Souls microscope.
The government would have to close the banks for a week or two, print emergency currency, strictly limit households’ access to their deposits, and introduce capital controls.
Spanish banks are required to increase their
deposits
in proportion to their lending and set aside capital against assets in their off-balance sheets.
Almost 90 countries have now committed to begin, as early as 2017, cross-border data exchanges that would include information about account holders and certain details regarding their
deposits
and balances – information that could help authorities identify proceeds from corruption and illegal transactions through suspicious activity and spikes.
If China’s traditional and shadow banking systems end up holding loans amounting to more than 300% of GDP, then somewhere there will be companies, households, and government entities with bank
deposits
or other fixed-income assets equal to over 270% of GDP (with the other 30% or so being investments in bank equity).
Our energy security is increasingly tied to the exploitation of unconventional fossil-fuel
deposits
like shale gas, especially in the United States.
Given that taxpayers are thus supposed to finance guarantees for
deposits
up to €100,000 ($133,000) – the median level of Dutch household wealth and twice the German median – the Eurogroup’s proposal boils down to a massive redistribution of wealth in Europe, the dimensions of which are not understood by the public.
Beyond short-term fixes, the main priority must be to encourage a resumption of savings flows across Europe, but this time in the form of equity, not bank
deposits
and loans.
Although I agree with Barbosa that monetary, not fiscal, instruments would better address this liquidity problem, the manipulation of reserves is less effective than securities in this regard, because reserves (and term deposits) are usually non-tradable.
Similarly, banks have short-term liabilities (deposits) and long-term assets, which they cannot liquidate quickly without incurring great losses.
Middle-class savers have watched the real value of their bank
deposits
decline annually at a rate of about 2%, and many retirees have suffered a real decline in their pensions, which are invested in safe assets and thus yield minimal returns.
Traditionally, the banking business centered around attracting
deposits
and issuing loans.
Similarly, higher
deposits
might simply add to some banks' excess liquidity, but others might find it attractive to lend more, providing a further economic boost.
Indeed, those profits have encouraged them and their shadow-bank counterparts to channel
deposits
into high-risk, high-return financial and real-estate investments.
A previous proposal suggests that not even insured
deposits
of less than €100,000 ($129,000) are safe.
Although Cypriot lawmakers decisively rejected the plan to impose a one-time tax of almost 7% on such
deposits
only a couple of days after it was presented, the damage has been done.
Indeed, not even the imminent threat of financial meltdown could convince any member of Cyprus’s parliament to accept the mandatory levy on individual bank
deposits.
The Irish banking system approached total collapse in September 2008, and was only saved by a €400 billion government guarantee of all bank
deposits.
The US Defense Department has valued Afghanistan’s untapped mineral
deposits
at $1 trillion.
Making matters worse, the Chinese authorities are tightening credit and regulating the money supply through sterilization and high reserve requirements for bank
deposits
– an approach that undermines real economic growth considerably.
In 1980, financial assets – stocks, bonds, and bank
deposits
– totaled around 100% of GDP in the advanced economies.
Instead of paying interest on commercial banks’ “excess” reserves held by the central bank, the central bank taxes these
deposits.
Lower interest rates on
deposits
may cause large sections of the economy to become cash-based, while pension and insurance companies may struggle to meet long-term liabilities at a fixed nominal rate.
Moreover, returns on
deposits
are low (and had been negative), and the state-dominated financial system offers few diversified products.
This will require a shift to renewable energy sources such as solar power, and perhaps nuclear power, as well as new technologies to capture carbon dioxide at power plants and then to dispose of the carbon dioxide in safe underground
deposits.
In the last 20 years, the cost of Canadian oil extracted from non-conventional fossil
deposits
has dropped by more than half, and now stands at $11 a barrel.
As for the official banking sector, liberalization of interest rates on deposits, scheduled for 2016, will reduce financial repression and implicit investment subsidies.
Banks would then find it advantageous to hold their surplus liquidity in the form of T-bills as long as these bills yielded more than bank
deposits
held at the ECB.
But in the real world commercial banks can create new private deposit money and hold only a small fraction of those
deposits
as reserves at the central bank.
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