Regulatory Alerts2018-12-27
National Bank of Rwanda Regulation on Liquidity Requirements for Banks
The National Bank of Rwanda promulgates Regulation No. 2310/2018 to establish comprehensive prudential liquidity requirements for all licensed banks. The regulation mandates the calculation and maintenance of short-term Liquidity Coverage Ratios (LCR) and long-term Net Stable Funding Ratios (NSFR), alongside robust internal liquidity adequacy assessments and periodic stress testing. Banks must implement sound risk management frameworks, submit detailed liquidity reports to the central bank, and face administrative sanctions for non-compliance to safeguard depositors and financial system stability.
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