One way to boost the capital to assets ratio of an FI is through loan sales.

Name: One way to boost the capital to assets ratio of an FI is through loan sales.
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When an FI sells loans, it receives cash which can be used to increase its capital. This in turn improves its capital to assets ratio. The loans sold may also be removed from the balance sheet, reducing the assets held by the FI and further improving the ratio.

One Way to Boost the Capital to Assets Ratio of an FI