🏦 LCR Calculator
Calculate the Liquidity Coverage Ratio (LCR) used by banks and regulators to check whether an institution holds enough high-quality liquid assets to survive a 30-day funding stress.
What Is the Liquidity Coverage Ratio (LCR)?
The Liquidity Coverage Ratio (LCR) is a bank regulatory metric, introduced under the Basel III framework, that measures whether a financial institution holds enough high-quality liquid assets (HQLA) to cover its total net cash outflows over a 30-calendar-day stress scenario.
The Formula
LCR (%) = (High-Quality Liquid Assets ÷ Total Net Cash Outflows over 30 Days) × 100.
Regulators generally require banks to maintain an LCR of at least 100%, meaning their stock of liquid assets should be sufficient to meet expected net outflows during a month of significant financial stress. This calculator is intended for general educational purposes and does not constitute regulatory or compliance guidance.