02115cas a2200265 a 4500 AALejournalIMF017174 230101c9999 xx r poo 0 0eng d 5.00 USD 9781475544824 1018-5941 BD-DhAAL BD-DhAAL Komaromi, Andras. Assessing Liquidity Buffers in the Panamanian Banking Sector / Andras Komaromi, Metodij Hadzi-Vaskov, Torsten Wezel. Washington, D.C. : International Monetary Fund, 2016. 1 online resource (22 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper assesses the resilience of Panamanian banks to (i) a very severe short-term, and (ii) a significant long-lasting liquidity shock scenario. Short-term liquidity buffers are evaluated by approximating the Liquidity Coverage Ratio (LCR) defined in the Basel III accord. The risk of losing a substantial part of foreign funding is analyzed through a conventional liquidity stress test scrutinizing several layers of liquidity across maturity buckets. The results of this study point to some vulnerabilities. First, our approximations indicate that about half of Panamanian banks would need to adjust their liquid asset portfolios to meet current LCR standards. Second, while most banks would be able to meet funding outflows in the stress-test scenario, a number of banks would have to use up all of their liquidity buffers, and a few even face a final shortfall. Nonetheless, most banks displaying sizable liquidity shortfalls have robust solvency positions. Mode of access: Internet Hadzi-Vaskov, Metodij. Wezel, Torsten. IMF Working Papers; Working Paper ; No. 2016/200 Full text available on IMF http://elibrary.imf.org/view/journals/001/2016/200/001.2016.issue-200-en.xml IMF e-Library