what is treasury in finance

In finance, treasury refers to the financial department or division within a government or organization responsible for managing and controlling financial resources, including funds, assets, and investments. Treasury is a key finance function that is vital to the financial health and success of every business, large or small. The treasury function involves the management of money and financial risks in a business. The treasury function will vary depending on the size and nature of each business. As a treasury professional, you are essentially a trusted advisor to the business on financial matters, always looking forward and planning how you can add value and drive success. The decisions made by treasury professionals have a direct impact on performance and profits. Treasury plays a critical role in budgeting, cash management, and ensuring the financial stability and liquidity of the entity it serves. In banks, the treasury is part of its investment banking business and other business areas like mergers and acquisitions, project finance, syndicated loans, and global transactional banking.