Cloze Test Set 7 by Ajay Sir- Accent Concept

Banks are …(1)… from other corporate in important …(2)… and that makes corporate governance of banks not only different but also more critical. Banks facilitate economic growth, are the ..(3)… of monetary policy transmission and constitute the economy’s payment and settlement system. By the very …(4)… of their business, banks are highly leveraged. They accept large amounts of uncollateralized public funds …(5)… deposits in a fiduciary capacity and further leverage those funds through credit creation. Banks are interconnected in diverse, complex and opaque ways underscoring their ‘contagion’ potential. If a corporate fail, the …(6)… can be restricted to the stakeholders. If a bank fails, the impacts can …(7)… rapidly through to other banks with potentially serious consequences for the …(8)… financial system and the macroeconomy. While regulation has a …(9)… to play in ensuring robust corporate standards in banks, the point to recognize is that …(10)… regulations is a necessary, but not a sufficient condition for good corporate governance. In this context, the relevant issues …(11)… to corporate governance of banks in India are bank ownership, accountability, transparency, ethics, compensation, splitting the posts of chairman and CEO of banks and corporate governance under financial holding company structure, …(12)… should engage adequate attention.