Crisis underlines importance of liquidity

The current credit crunch has shown how essential liquidity is to both markets and institutions, Glenn Stevens, the governor of the Reserve Bank of Australia, noted.

The importance of liquidity was, Stevens said, "something that perhaps had not been emphasised as much as it should have been in regulation, where the emphasis has very much on capital."

"We have further learned that, under conditions of great uncertainty, liquidity pressures can erupt in markets that had seldom been affected in the

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 info@centralbanking.com or view our subscription options here: http://subscriptions.centralbanking.com/subscribe

You are currently unable to copy this content. Please contact info@centralbanking.com to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Central Banking? View our subscription options

Register for Central Banking

All fields are mandatory unless otherwise highlighted

This address will be used to create your account

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

.