Bank Countercyclical Capital Buffer Under the Liquidity Coverage Ratio Regulation
This paper analyzes the relationship between the #baseliii countercyclical #capitalbuffer (#CCyB) and the #liquidity coverage #ratio (#lcr) requirement. The study shows that banks face a risk‑liquidity trade‑off with the LCR, affecting the CCyB required level to dampen cyclicality in #bank actual #capitalratios.