Explanation:
EME banks rely more heavily on time deposits due to their relative stability compared to demand deposits, particularly in volatile EME environments.
A is incorrect: AE banks tend to have greater access to and reliance on wholesale funding markets. B is incorrect: AE banks tend to have a larger proportion of demand deposits. D is incorrect: Interbank lending is a funding source for both, but not a key distinguishing feature in their overall liability structure.
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Q.6357 Which of the following best describes a key difference in the liability structure of EME banks compared to AE banks?
A
EME banks rely more on wholesale funding.
B
EME banks rely more on demand deposits.
C
EME banks rely more on time deposits.
D
EME banks rely more on interbank lending.