Basel III LCR-HQLA component: Nigerian, Kenyan and South African experiences

The impact of the liquidity coverage ratio for high-quality liquid assets (LCR-HQLA) certainly attracts varied responses from different jurisdictions with regards to their respective economic situations. Although these responses may not be new, most jurisdictions, especially emerging economies like the Sub-Saharan Africa (SSA) region, aim to sustain a stable balance between liquidity generation and its maintenance within existing liquidity standards. These standards that seem to be running parallel to the HQLA buffer requirements may have shaped the process by which SSA banks remained liquid and resilient, especially in the last global financial crisis.