In this regard, some degree of liquidity management at the local level plays a significant role in the BCL liquidity risk assessment of banks, and it must be subject to its approval. Finally, the BCL pays particular importance at assessing whether banks’ internal pricing of liquidity within the institution and among group member duly reflects liquidity risk.
Vigilance as We Build The economic landscape looks good, with conditions ripe for building. However, as we build, we must be mindful and vigilant of challenges. For example, there could be some transitory upside risks to inflation owing to the possible impact of the proposed tax reform program along with pending petitions to raise power rates.