 Lastly, banks’ off-balance sheet programs (SIVs for example) relied on short-term ABCP to operate; when this market dried up, banks in some cases had to take the assets from these vehicles onto their balance sheets.All of these factors made liquidity risk management especially challenging during this time.The federal funds rate is the weighted average rate at which banks lend to each other in the overnight funds market, also known as the US overnight rate.