# Buffer

- Canonical URL: https://www.gerhardmerk.de/buffer
- Post ID: 593445
- Modified: 2023-07-25T21:01:25+00:00
- Language: en

## Definition

The amount of cash, bank balances and unused credit lines held by an economic entity. - The ability of an economic entity to maintain solvency (ability to pay, to meet financial obligations) even in exceptional circumstances. - See Basel-III, core deposit, debt tail, capital conservation buffer, funds, liquid, liquidity risk management, buffer, countercyclical, risk-bearing capacity, cyclicality. - ECB Monthly Bulletin, December 2008, p. 29 (banks mainly use public debt instruments as liquidity buffers); BaFin Annual Report 2009, p. 51 (CEBS recommendations on the composition of the liquidity buffer). Attention: The financial encyclopedia is protected by copyright and may only be used for private purposes without express consent! University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec. Professor Dr. Eckehard Krah, Dipl.rer.pol. E-mail address: info@ekrah.com https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk https://www.jung-stilling-gesellschaft.de/merk/ https://www.gerhardmerk.de/

## Machine-readable

- Generator: Merk Knowledge 1.1.1