| Description |
1 online resource (22 pages) : color illustrations. |
|
text file |
| Series |
IMF working paper,
1018-5941 ;
WP/16/200
|
|
IMF working paper ; WP/16/200.
|
| Note |
"October 2016." |
|
At head of title: International Monetary Fund, Western Hemisphere Department. |
| Bibliography |
Includes bibliographical references (page 21). |
| Summary |
This paper assesses the resilience of Panamanian banks to (i) a very severe short-term, and (ii) a significant long-lasting liquidity shock scenario. Short-term liquidity buffers are evaluated by approximating the Liquidity Coverage Ratio (LCR) defined in the Basel III accord. The risk of losing a substantial part of foreign funding is analyzed through a conventional liquidity stress test scrutinizing several layers of liquidity across maturity buckets. The results of this study point to some vulnerabilities. First, our approximations indicate that about half of Panamanian banks would need to adjust their liquid asset portfolios to meet current LCR standards. Second, while most banks would be able to meet funding outflows in the stress-test scenario, a number of banks would have to use up all of their liquidity buffers, and a few even face a final shortfall. Nonetheless, most banks displaying sizable liquidity shortfalls have robust solvency positions. |
| Contents |
Cover; Contents; Abstract; I. Introduction and Motivation; II. Short-Term Liquidity in Light of the LCR; III. Testing for Bank's Resilience to Loss of Foreign Funding; IV. Concluding Remarks; V. References; Tables; 1. Assumptions in the Extreme Scenario; 2. Funding Run-off Rates by Type of Funding and Residual Maturity; 3. Summary Results of Conventional Liquidity Stress Test-General License; Box; 1. Mapping the SBP's Liquidity Report to the LCR; Appendix; I. Results of Conventional Liquidity Stress Test for Banks with International License. |
| Local Note |
eBooks on EBSCOhost EBSCO eBook Subscription Academic Collection - North America |
| Subject |
Banks and banking -- Panama.
|
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Banks and banking. |
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Panama. |
|
Liquidity (Economics)
|
|
Liquidity (Economics) |
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Liquid assets -- Panama.
|
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Liquid assets. |
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Financial risk management -- Panama.
|
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Financial risk management. |
| Genre/Form |
Electronic books.
|
| Added Author |
Hadzi-Vaskov, Metodij, author, (IMF staff)
|
|
Wezel, Torsten, author, (IMF staff)
|
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International Monetary Fund, publisher.
|
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International Monetary Fund. Western Hemisphere Department, issuing body.
|
| Other Form: |
Print version: Komaromi, Andras. Assessing Liquidity Buffers in the Panamanian Banking Sector. Washington, D.C. : International Monetary Fund,2016 9781475544824 |
| ISBN |
9781475544824 |
|
1475544820 |
|
1475544898 |
|
9781475544893 (electronic book) |
| Standard No. |
10.5089/9781475544824.001 |
|
