"It means that economic activity is by no means starve of
liquidity," Dakila said.
'The 20-percent MLR aims to ensure that stand-alone thrift, rural and cooperative banks and QBs set aside a
liquidity buffer that will enable them to withstand
liquidity stress events,' the BSP said.
The rating reflects the short-term rating that Fitch maintains on the substitute bank providing
liquidity support and will be adjusted upward or downward in conjunction with changes to the short-term rating of the bank.
Al Ramz measures
liquidity via three "
Liquidity Metrics": average bid/ ask spread, average daily turnover and annualised historical price volatility of share price.
"Sico is delighted to be licensed as market maker and
liquidity provider on this important market, and to be bringing our considerable expertise to them," Sico chief executive Najla Al Shirawi said.
The
liquidity of rated Russian companies remains solid, although US sanctions could result in a greater reliance on domestic funding.
Thrift banks and rural banks as well as quasi banks, in the meantime, have their own minimum
liquidity ratio for their simpler
liquidity risk profile.
Included in the articles of the decision are that the banks maintain an LCR that reflects their internal assessment of
liquidity risk and is consistent with their
liquidity risk profile, that they apply the LCR at both the local and international levels, that they follow specific criteria for calculating the LCR (including specific definitions for high quality
liquidity assets), that they set up the necessary framework for periodic monitoring, and that they conduct stress tests.
The apex bank said the move is part of its continuing efforts to manage excess
liquidity in the banking system.
Many funds have costs near zero, but funds that hold relatively illiquid equities, have relatively concentrated portfolios, and manage relatively large amounts of assets have average
liquidity costs significantly greater than the full sample average.
The interest in bank
liquidity has grown significantly in recent times not only among regulators, but in authors' studies as well.
Thirty-three banks operating in the domestic market offered investments worth EGP 278.85bn of surplus
liquidity in local currency via deposit operations, which was deposited by the Central Bank of Egypt (CBE) on Tuesday, according to data obtained by Daily News Egypt.