The proposal’s LCR is based upon a liquidity standard agreed to by the Basel Committee on Banking Supervision, but is more stringent than the Basel Committee standard in several areas, including the range of assets that will qualify as high-quality liquid assets and the assumed rate of outflows for certain kinds of funding.
In addition, the proposed rule’s transition period is shorter than that in the Basel Committee standard. The proposed accelerated phase-in of the U.S. LCR reflects our objective that large U.S. banking firms maintain the improved liquidity positions that they built following the financial crisis, in part BIS central bankers’ speeches  1  due to our supervisory oversight.