A case for stronger regulation on liquidity

Securitisation's enhancement of and reliance on liquidity, as revealed by the recent bout of turmoil, indicates the need for new rules on liquidity, the Banque de France's latest stability review finds.

However the review also notes that bigger liquidity cushions might not be sufficient in crises as the potential demand for liquidity is almost infinite in those circumstances. Less uncertainty would be a better solution and could be brought about through standardising securitised products and

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here: http://subscriptions.centralbanking.com/subscribe

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: