3 Introduction
Various parameters in Liquidity Risk Management help in analyzing the liquidity status of the bank. Liquidity ratios are one such parameter prescribed by the Basel III Guidelines. In addition to Liquidity Coverage Ratio (LCR) and Net Stable funding Ratio (NSFR), the HKMA has also identified the Liquidity Maintenance Ratio (LMR) and Core funding Ratio (CFR) for Category 2 institutions.
Oracle Financial Services Liquidity Risk Regulatory Calculations for the Hong Kong Monetary Authority (LRRCHKMA) application calculates the following ratios: