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liquidity support

Liquidity support refers to assistance provided to a financial institution or market to ensure it has enough liquid assets—cash or easily convertible resources—to meet its short-term obligations. This support helps prevent financial instability or crises by maintaining confidence and ensuring ongoing operations during periods of stress. It can come from central banks, governments, or other financial authorities, and may include actions like emergency loans or asset purchases to bolster liquidity and stabilize the system.