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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Overview
21 Nov 2022
FSR
- April 2022
PDF
70KB
https://www.rba.gov.au/publications/fsr/2022/apr/pdf/00-overview.pdf
Financial Intermediaries
10 Mar 2004
FSR
– March 2004
Another determinant of credit risk is the mix between banks' domestic and foreign assets. ... The vast bulk of the banks' foreign currency borrowing is fully hedged and hence does not carry exchange rate risk.
https://www.rba.gov.au/publications/fsr/2004/mar/fin-intermed.html
The Australian Financial System
20 Oct 2016
FSR
– October 2016
Banks' resilience to liquidity and funding shocks has improved since the financial crisis. ... Each of the major banks have issued AT1 instruments this year despite primary market spreads remaining elevated, and ANZ issued the first foreign
https://www.rba.gov.au/publications/fsr/2016/oct/aus-fin-sys.html
The Global Financial Environment
8 Apr 2021
FSR
– April 2021
In late February, the increase in yields was exacerbated by low liquidity in government bond markets. ... This increase in debt has also increased currency risk where the debt denominated in foreign currency is unhedged, and the risk of capital outflows
https://www.rba.gov.au/publications/fsr/2021/apr/global-financial-environment.html
The Global Financial Environment
9 Oct 2020
FSR
– October 2020
In response, some central banks sold foreign currency reserves to support their currencies and purchased local currency government bonds, which have assisted domestic market functioning. ... Financial market conditions have improved since March, though
https://www.rba.gov.au/publications/fsr/2020/oct/global-financial-environment.html
Financial Intermediaries
10 Mar 2007
FSR
– March 2007
Lately, foreign-owned banks' assets have grown particularly strongly, increasing by 20 per cent over the year to January (Graph 33). ... The foreign-currency risk is, however, almost fully hedged using derivative instruments.
https://www.rba.gov.au/publications/fsr/2007/mar/fin-intermed.html
Financial Intermediaries
10 Mar 2006
FSR
– March 2006
This reliance on foreign funding has not exposed the banking system to foreign exchange risk, as the currency risk on foreign-currency-denominated debt is typically fully hedged using cross-currency ... low at $18 billion, and that this was more than
https://www.rba.gov.au/publications/fsr/2006/mar/fin-intermed.html
The Australian Financial System
20 Oct 2015
FSR
– October 2015
Depreciation of the Australian dollar also tends to add to banks' liquidity because they then receive collateral inflows from counterparties to their derivative transactions for hedging foreign-currency-denominated debt. ... Banks' HQLA was split roughly
https://www.rba.gov.au/publications/fsr/2015/oct/aus-fin-sys.html
Overview
24 Sep 2013
FSR
September 2013
PDF
842KB
https://www.rba.gov.au/publications/fsr/2013/sep/pdf/overview.pdf
Overview
13 Oct 2016
FSR
October 2016
PDF
89KB
https://www.rba.gov.au/publications/fsr/2016/oct/pdf/overview.pdf