Paper

Bank of Thailand: Prescription on Maintenance of Liquid Assets by Commercial Banks

Prescription on maintenance of liquid assets by commercial banks
Download 4 pages

This document is the notification issued by the Governor of Thailand regarding the amendment to the regulation on the amount of liquid assets the commercial banks are to maintain.

The notification, in particular, provides information on the:

  • Prescribed sources of funds from where all the commercial banks are to maintain their prescribed limits of the liquid asset ratios (LAR);
  • Flexibility, which the Bangkok International Banking Facilities and the Provincial International Banking Facilities had with regard to their liability of maintaining the mandatory LAR.

Some of the salient features of the notification are:

  • For maintenance of liquid assets, the banks are to accommodate the deposit or borrowing transactions, with return payment, based on variables;
  • For computation of the LAR, the total borrowings, with returns based on variables, are to be used as the base for all such calculations.

About this Publication

Published