2021-09-03 | BSD/DIR/PUB/14/063

Guidelines on Liquidity Coverage Ratio (LCR)

The Central Bank of Nigeria's guidelines outline the minimum requirements for the Liquidity Coverage Ratio (LCR) for banks in Nigeria, aiming to ensure they hold sufficient high-quality liquid assets to withstand a 30-day stress scenario. The LCR is calculated as the ratio of a bank's stock of unencumbered high-quality liquid assets to its total net cash outflows over 30 days. The guidelines detail the characteristics and operational requirements of HQLA, as well as the calculation of total net cash outflows, including various categories of liabilities and off-balance sheet commitments.

Nigeria

Central Bank of Nigeria

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