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How to use ICBC reserves
Only available for use in emergencies.
Bank reserves are cash deposited proportionally from commercial banks and inventories in the central bank.
The purpose of implementing reserves is to ensure that commercial banks have sufficient liquidity when a large amount of deposits are suddenly withdrawn from the bank. The reserve is a provision set in the project plan to reduce cost and schedule risks. Reserves are funds established to cover future repurchases, repay capital obligations, or protect against unexpected losses, and include loan and security loss reserves and sinking funds.
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