Banker algorithm used to avoid deadlock and allocate resources safely to each process in the computer system. The ‘S-State’ examines all possible tests or activities before deciding whether the allocation should be allowed to each process. It also helps the operating system to successfully share the resources between all the processes. The banker’s algorithm is named because it checks whether a person should be sanctioned a loan amount or not to help the bank system safely simulate allocation resources.
Reference:- https://www.geeksforgeeks.org/bankers-algorithm-in-operating-system-2/