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Basel III Liquidity (LCR)

The Liquidity Coverage Ratio (LCR) is a core component of the Basel III post-crisis reform. it ensures that banks maintain an adequate level of…

What Basel III Liquidity (LCR) requires

The Liquidity Coverage Ratio (LCR) is a core component of the Basel III post-crisis reform. it ensures that banks maintain an adequate level of unencumbered high-quality liquid assets (HQLA) that can be converted into cash easily and immediately in private markets to meet their liquidity needs for a 30-day calendar day liquidity stress scenario.

Pillar: Banking & Global Finance · Authority: Bank for International Settlements (BCBS) · Version: 1.1.0 · Last updated:

Primary source: https://www.bis.org/bcbs/basel3.htm

SHA-256 integrity: 6949a597b18a5d0208da1296b8ca585d3ca4de79524310598fd2c303463b248a

Primary Citations — 6 traced to source

  • Basel Committee on Banking Supervision (BCBS) 238: Basel III: The Liquidity Coverage Ratio and liquidity risk monitoring tools (January 2013)
  • European Commission Delegated Regulation (EU) 2015/61 supplementing Regulation (EU) No 575/2013 with regard to liquidity coverage requirement for Credit Institutions

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