Agencies issue final rule regarding the treatment of certain municipal obligations as high-quality liquid assets
May 30, 2019
Agencies issue final rule regarding the treatment of certain municipal obligations as high-quality liquid assets
- Board of Governors of the Federal Reserve System
- Federal Deposit Insurance Corporation
- Office of the Comptroller of the Currency
For release at 3:00 p.m. EDT
WASHINGTON—The federal bank regulatory agencies issued a final rule that will adopt without change the agencies' interim final rule issued in August 2018, amending their liquidity coverage ratio (LCR) rules to treat certain municipal obligations as high-quality liquid assets (HQLA).
The Economic Growth, Regulatory Relief, and Consumer Protection Act requires the agencies to treat a municipal obligation as HQLA under the LCR rule if that obligation is "liquid and readily-marketable" and "investment grade."
The final rule will be effective 30 days after publication in the Federal Register.
Legal Disclaimer:
EIN Presswire provides this news content "as is" without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.
