Search: foreign-currency liquidity
RBA Glossary definition for foreign-currency liquidity
foreign-currency liquidity – The capacity to exchange foreign currency for domestic currency without significantly moving the exchange rate. The extent to which a foreign currency may be traded readily without causing a significant movement in price.
RBA Glossary definition for liquidity
liquidity – The capacity to sell an asset quickly without significantly affecting the price of that asset. Liquidity is also sometimes used to refer to assets that are highly liquid.
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The Australian and Global Financial Systems
9 Apr 2020
FSR
– April 2020
EMEs with high amounts of external financing or foreign currency debt are particularly vulnerable because they are more exposed to tighter financial conditions offshore, such as in US dollar funding markets. ... the derivatives they use to hedge foreign
https://www.rba.gov.au/publications/fsr/2020/apr/the-australian-and-global-financial-systems.html
The Global Financial Environment
12 Apr 2019
FSR
– April 2019
This lending continues to be partly funded from short-term wholesale markets, resulting in foreign currency liquidity risks. ... In particular, EMEs in the region generally have much larger foreign currency reserves, stronger current account positions,
https://www.rba.gov.au/publications/fsr/2019/apr/global-financial-environment.html
The Global Financial Environment
10 Apr 2018
FSR
– April 2018
A shift in risk sentiment could expose some EMEs to currency depreciations which would inflate the value of any unhedged foreign currency borrowing and interest costs, while also reducing firms' access ... More generally, rising global interest rates,
https://www.rba.gov.au/publications/fsr/2018/apr/global-financial-environment.html
The Global Financial Environment
10 Sep 2013
FSR
– September 2013
Much of this borrowing, particularly in the case of corporate debt, is denominated in foreign currency, because global investors often do not want exposure to these countries' currencies (Table 1.1). ... rate volatility, and thus into borrowing more in
https://www.rba.gov.au/publications/fsr/2013/sep/global-fin-env.html
The Australian Financial System
4 Oct 2019
FSR
– October 2019
In the event of reduced willingness of foreign investors to fund Australian banks, the Australian dollar may depreciate, reducing the foreign currency funding need. ... The banks could also replace the hedged foreign funding with domestic sources with no
https://www.rba.gov.au/publications/fsr/2019/oct/australian-financial-system.html
The Macroeconomic and Financial Environment
10 Mar 2006
FSR
– March 2006
Investors expect that this will continue, with measures of implied volatility (extracted from option prices) in most major foreign exchange, interest rate and equity markets all around multi-year lows (Graph ... from the sovereign's perspective as it
https://www.rba.gov.au/publications/fsr/2006/mar/mac-fin-env.html
The Global Financial Environment
10 Mar 2011
FSR
– March 2011
A separate study of banks' funding and liquidity risks is also being undertaken, though the results will not be made public. ... For example, South Korea and Thailand have imposed taxes on foreign investors' earnings on government bonds, while Indonesia
https://www.rba.gov.au/publications/fsr/2011/mar/global-fin-env.html
Regulatory Developments
20 Oct 2018
FSR
– October 2018
It describes the home authority's strategy and actions that would be used to address liquidity stress. ... risks. DCE providers exchange money (whether Australian or foreign currency) for digital currency (or vice versa).
https://www.rba.gov.au/publications/fsr/2018/oct/regulatory-developments.html
Box A: The Basel III Liquidity Reforms in Australia
10 Mar 2015
FSR
– March 2015
Public disclosure and enhanced supervision of liquidity risk will complement these regulatory requirements. ... Foreign bank branches are not eligible to apply for the Reserve Bank's Committed Liquidity Facility.
https://www.rba.gov.au/publications/fsr/2015/mar/box-a.html
Resilience of the Australian Financial System
6 Oct 2023
FSR
– October 2023
Resilience of the Australian Financial System | Financial Stability Review – October 2023
https://www.rba.gov.au/publications/fsr/2023/oct/australian-financial-system.html