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RBA Glossary definition for solvency

solvency – The capacity of an entity to meet its financial obligations as they fall due. Solvency may be expressed as maintaining positive net-tangible assets.

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Robustness Tests and Extensions

30 Nov 2016 RDP 2016-09
Rose Kenney, Gianni La Cava and David Rodgers
This suggests that the liquidity and solvency of subsidiary companies are closely tied to the performance of their parent companies.
https://www.rba.gov.au/publications/rdp/2016/2016-09/robustness-tests-and-extensions.html

Why Do Companies Fail?

1 Nov 2016 RDP 2016-09
Rose Kenney, Gianni La Cava and David Rodgers
https://www.rba.gov.au/publications/rdp/2016/2016-09/full.html