Sweden: Financial Sector Assessment Program Update: Technical Note on Reviewing the Systemic Liquidity Risk Management Framework
IMF Staff Country Reports, September 16, 2011
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- Sweden: Financial Sector Assessment Program Update: Technical Note on Reviewing the Systemic Liquidity Risk Management Framework
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Bibliographic details
- Published: September 16, 2011
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781463903619.002
Summary
- The Swedish banking system faced a severe liquidity strain during the global financial crisis owing to their extensive reliance on global wholesale funding to support expansion in their credit operations.
- This note gives a detailed review on the recommendations made in the Financial Sector Assessment Program (FSAP) Update in the area of systemic liquidity risk management, especially in relatively weak areas and some aspects of Riksbank’s domestic liquidity toolkit.
- The note does not cover a range of issues on emergency liquidity assistance to individual institutions.
Major findings and focus areas
- Emphasis on systemic liquidity risk management recommendations from the FSAP Update.
- Special attention to relatively weak areas in Sweden’s systemic liquidity risk management framework.
- Review of some aspects of Riksbank’s domestic liquidity toolkit.
- Exclusion: emergency liquidity assistance to individual institutions is not covered.
Subjects and keywords
- Subjects: Asset and liability management; Banking; Central banks; Financial institutions; Financial regulation and supervision; International reserves; Liquidity; Liquidity management; Liquidity risk; Securities
- Keywords: bank; central bank; CR; foreign currency; Global; International reserves; ISCR; Liquidity; Liquidity management; liquidity regulation; liquidity risk; Liquidity risk; liquidity support; market liquidity operation; right; risk; risk management framework; securities; support policy