Document ID: chunk:federal_register_of_legislation:F2023L00417:body:0:p24
Version: federal_register_of_legislation:F2023L00417
Segment Type: other
Provision Reference: 
Character Range: 69225–72150

are in excess of net cash outflows (prior to applying the inflow cap) in that currency.

To the extent that surplus liquid assets in one jurisdiction or currency would not be freely available to meet outflows in other jurisdictions or currencies in times of stress, ADIs should exclude these liquid assets from Section A: Liquid assets of ARF 210.1A (Level 1 and Level 2). In such cases, the ADI should include liquid assets in that jurisdiction or currency in the order of most liquid to least liquid, that is, HQLA1 first, then HQLA2A, HQLA2B and finally ALA, up to the amount of net cash outflows in that jurisdiction or currency.

When reporting the LCR for a single currency under item 35 "LCR for significant currencies" in ARF 210.1A, the above approach would not apply and an ADI should include all liquid assets in that currency.

Item 1     Item 1 is a derived item calculated as the sum of HQLA1 reported in items 1.1 to 1.4.

Item 1.1   Report all notes and coin held by the ADI that are immediately available to meet obligations. Exclude deposits placed at, or receivables from, other financial institution counterparties.

Item 1.2   Item 1.2 collects information on central bank balances that can be drawn in times of stress.

           Report all settlement account balances and any other funds held with the RBA which can be drawn down in times of stress in item 1.2.1.

           Report settlement account balances, central bank reserves, overnight and term deposits held with foreign central banks which can be drawn down in times of stress in item 1.2.2.

           Amounts not included in items 1.2.1 and 1.2.2 and that expire within 30 days are to be reported in item 20.4.

           Amounts required to be installed in the central bank reserves within 30 days are to be reported in item 9.3.7.
Item 1.3   Item 1.3 collects information on securities with a zero per cent risk weight.

           Report the market value of unencumbered marketable debt securities with a zero per cent risk weight, under the standardised approach to credit risk of the Basel II framework, by counterparty type in items 1.3.1 to 1.3.8.

           Report securities issued by the Australian Government in item 1.3.1.

           Report securities issued by an Australian State Government or Territory Central Borrowing Authorities (semi-government) in item 1.3.2.

           Report securities issued by foreign sovereigns in item 1.3.3.

           Report securities guaranteed by the Australian Government in item 1.3.4.

           Report securities guaranteed by foreign sovereigns in item 1.3.5.

           Report securities issued or guaranteed by central banks in item 1.3.6.

           Report securities issued or guaranteed by public sector entities (PSEs) in item 1.3.7.

           Report securities issued or guaranteed by the Bank of International Settlements (BIS), the International