Banking, finance and insurance
Unity Small Finance Bank Treasury Analyst Interview: Rounds, Questions and Preparation
For Treasury Analyst roles at companies like Unity Small Finance Bank
What the job involves
A Treasury Analyst at a small finance bank or fast-growing lender supports daily cash and liquidity management, monitors funding and investment positions, and helps manage interest rate and forex risks. The role involves preparing reports on asset-liability mismatches, tracking regulatory ratios like CRR, SLR and LCR, and coordinating with dealers, relationship managers and operations teams. Freshers typically start with reconciliation, data analysis and reporting before moving to independent dealing or risk analysis.
Role and Technical Knowledge
- 1
What does a Treasury Analyst do on a typical day in a small finance bank?
Cover cash position monitoring, preparing liquidity reports, tracking regulatory ratios, coordinating with dealers and operations, and supporting funding decisions. Mention that in a smaller bank you may wear multiple hats.
- 2
Explain CRR, SLR and LCR. Why do they matter for treasury?
Define each briefly: CRR is cash kept with RBI, SLR is liquid assets like G-secs, LCR is high-quality liquid assets over 30-day net outflows. Explain that treasury must maintain these to avoid penalties and manage liquidity risk.
- 3
What is asset-liability management and how does a gap report help?
Explain ALM as matching assets and liabilities by maturity and interest rate sensitivity. A gap report shows mismatches in buckets, helping treasury anticipate funding needs or surplus for investment.
- 4
Name some money market instruments a treasury desk uses and their typical tenors.
Mention T-bills (91, 182, 364 days), commercial paper (up to 1 year), certificates of deposit (up to 1 year), repo and reverse repo (short term, often overnight to 14 days). Add that these help manage short-term liquidity.
Practical Scenarios and Calculations
- 5
You notice a sudden drop in the bank's LCR due to large deposit withdrawals. What steps would you take?
Suggest verifying the data, informing senior management, checking available high-quality liquid assets, arranging short-term borrowings or repo, and preparing a contingency funding plan. Show calm prioritisation.
- 6
How would you forecast daily cash flows for a bank with many branches?
Talk about collecting historical data on deposits, withdrawals, loan disbursements and repayments, using Excel models, factoring in seasonality and month-end effects, and updating forecasts with actuals.
- 7
A dealer offers you a 1-year CD at 7.5 percent while a T-bill yields 7 percent. How do you compare them?
Compare credit risk, liquidity and return. CD has bank credit risk but higher yield; T-bill is sovereign and more liquid. Consider the bank's liquidity needs and investment policy before deciding.
- 8
How would you use Excel to track interest rate sensitivity of assets and liabilities?
Describe building a maturity bucket table, using formulas to compute rate-sensitive gaps, and applying scenario analysis like a 50 bps rate change. Mention pivot tables and data validation for accuracy.
Behavioural and Situational Questions
- 9
Tell me about a time you worked with numbers under a tight deadline.
Use a project, internship or exam example. Highlight accuracy, prioritisation, use of tools like Excel, and how you handled pressure without errors.
- 10
Describe a situation where you found a mistake in a report. What did you do?
Show ownership: you identified the error, informed the right person, corrected it, and suggested a check to prevent recurrence. Emphasise integrity and attention to detail.
- 11
How would you handle a disagreement with a senior about a funding decision?
Say you would listen, present data and regulatory facts respectfully, propose alternatives, and defer to the senior's final call while documenting your view. Show teamwork and professionalism.
- 12
Why do you want to work in treasury at a small finance bank rather than a large bank?
Mention broader exposure, faster learning, direct impact and the chance to handle multiple treasury functions. Connect it to your interest in liquidity and risk management.
HR and Career Fit
- 13
What do you know about Unity Small Finance Bank and its treasury operations?
Show basic research: it is a small finance bank focused on inclusive banking, and treasury supports its funding, liquidity and investment needs. Avoid claiming specific internal processes.
- 14
How do you keep up with RBI circulars and financial news?
Mention sources like RBI website, business newspapers, financial news apps and LinkedIn. Give an example of a recent regulation or market event you followed.
- 15
Where do you see yourself in three years in treasury?
Show a realistic path: from analyst to independent handling of liquidity reporting or dealer support, with deeper knowledge of ALM and risk. Mention certifications like NISM or CFA if relevant.
- 16
Are you comfortable working with early morning market hours and month-end closing pressures?
Answer honestly and positively. Mention your ability to plan, stay organised and communicate if schedules are tight. Treasury often starts early due to money market timings.
Ready to try it for real?
Take a timed test or talk through a mock interview for this role, then see your scores.
This is practice material for Treasury Analyst roles, written with AI. It is not a list of questions Unity Small Finance Bank or any other company has asked.