Features & Opinions

Transparency in Liquidity Risk Reporting

Infosys sponsored a webinar on 'Asset and Liquidity Management in Banks' where a panel of experts discussed trends and issues in asset, liability and liquidity management. The webinar was hosted by EastEuro Link and chaired by Kannan Amaresh of Infosys Technologies Ltd.

Our expert made a business case for implementing systems and processes to access risk-related data and predict liquidity risk. He said that contingency plans to address a financial crisis were practically non-existent at banks. Financial institutions need to be self-sufficient as they become less willing to lend. He added that externally focused liquidity reporting tools ensure that stakeholders of banks are aware of risks to take informed decisions. It also increases transparency of the liquidity reporting process.

A robust framework for liquidity risk reporting provides real-time, accurate data to monetize assets. Transparent reporting processes covering qualitative and quantitative risk parameters and reporting tools help banks -

  • Determine the liquidity horizon
  • Generate the yield-liquidity profile of business units to plan business expansion and develop strategies for product launch and treasury management
  • Evaluate the impact of fluctuations in financial markets
  • Identify patterns to mitigate liquidity risk and better manage liquidity
  • Take informed decisions based on accurate assessments of risk appetite and liquidity reserves
  • Integrate stress tests and scenario analysis for enhanced visibility into liquidity
  • Develop an early warning system to address a liquidity crisis

View the webinar

Introduce Transparency in Liquidity Risk Reporting

Published with permission of EastEuro Link

Our Expert

Kannan Amaresh, Global Head - Compliance Practice, Banking & Capital Markets practice, Infosys Limited Kannan Amaresh, Global Head - Compliance Practice, Banking & Capital Markets practice, Infosys Limited

Kannan is a Chartered Accountant with more than 17 years of experience in banking and financial services. He has spoken at events organized by the Financial Times, University of Cambridge, and forums for trade and finance. He can be reached at

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