As of January 1st, 2015 it became a requirement for banks to hold a minimum of 60 percent in high quality liquid assets (HQLA), which allowed them to survive in times of liquidity stress lasting up to 30 days. This minimum requirement was to increase annually by 10 percent until it reaches 100 percent as of 2019. As of March 2023, all European countries were able to meet this minimum requirement. The highest liquidity coverage ratio among European countries was recorded in Lithuania (419.7 percent), followed by Cyprus (331.8 percent) and Slovenia (272.9 percent).
Liquidity coverage ratio (LCR) of banks in Europe as of March 2023, by country
The Basel III (BIS) defines liquidity coverage ratio as "The LCR is designed to ensure that banks hold a sufficient reserve of high-quality liquid assets (HQLA) to allow them to survive a period of significant liquidity stress lasting 30 calendar days. The supervisory scenario capturing the period of stress combines elements of bank-specific liquidity and market-wide stress and includes many of the shocks experienced between 2007 and 2012. The 30-calendar-day stress period is the minimum period deemed necessary for corrective action to be taken by the bank's management or by supervisors. The LCR requires internationally active banks to hold a stock of HQLA at least as large as expected total net cash outflows over the stress period.
The source added the following information; "Individual country data includes subsidiaries, which are excluded from EU aggregate. For example, at country level the subsidiary in country X of a bank domiciled in country Y is included both in data for countries X and Y (for the latter as part of the consolidated entity). In the EU aggregate, only the consolidated entity domiciled in country Y is considered. The sample of banks is unbalanced and reviewed annually."
Profit from the additional features of your individual account
Currently, you are using a shared account. To use individual functions (e.g., mark statistics as favourites, set
statistic alerts) please log in with your personal account.
If you are an admin, please authenticate by logging in again.
Learn more about how Statista can support your business.
EBA. (July 13, 2023). Liquidity coverage ratio (LCR) of banks in Europe as of March 2023, by country [Graph]. In Statista. Retrieved November 05, 2024, from https://www.statista.com/statistics/909924/liquidity-coverage-ratio-in-europe-by-country/
EBA. "Liquidity coverage ratio (LCR) of banks in Europe as of March 2023, by country." Chart. July 13, 2023. Statista. Accessed November 05, 2024. https://www.statista.com/statistics/909924/liquidity-coverage-ratio-in-europe-by-country/
EBA. (2023). Liquidity coverage ratio (LCR) of banks in Europe as of March 2023, by country. Statista. Statista Inc.. Accessed: November 05, 2024. https://www.statista.com/statistics/909924/liquidity-coverage-ratio-in-europe-by-country/
EBA. "Liquidity Coverage Ratio (Lcr) of Banks in Europe as of March 2023, by Country." Statista, Statista Inc., 13 Jul 2023, https://www.statista.com/statistics/909924/liquidity-coverage-ratio-in-europe-by-country/
EBA, Liquidity coverage ratio (LCR) of banks in Europe as of March 2023, by country Statista, https://www.statista.com/statistics/909924/liquidity-coverage-ratio-in-europe-by-country/ (last visited November 05, 2024)
Liquidity coverage ratio (LCR) of banks in Europe as of March 2023, by country [Graph], EBA, July 13, 2023. [Online]. Available: https://www.statista.com/statistics/909924/liquidity-coverage-ratio-in-europe-by-country/
