Regulatory Alerts2025-08-28 | 36708Added · Updated
Liquidity Coverage Ratio Guideline
The Central Bank of Trinidad & Tobago issues this Liquidity Coverage Ratio Guideline, 2025, which, alongside the Financial Institutions (Liquidity) Regulations, 2025, details the specific elements and reporting expectations for the LCR and Liquidity Monitoring Tools (LMT). It mandates that commercial banks, financial holding companies, and non-bank financial institutions (as parents of financial groups) maintain a minimum LCR of 100% on an ongoing individual or consolidated basis. Standalone non-bank financial institutions are generally exempt from the LCR but must submit LMT templates. A transitional period of up to one year is provided, requiring a minimum LCR of 80% within six months and 90% within twelve months, before reaching the full 100% requirement.