In this section, banks should undertake, at least, the following:
i.
Analyse the internal liquidity risk stress-testing framework, including the process and governance of and challenge to scenario design, derivation of assumptions and design of sensitivity analysis, and the process of review and challenge and relevance to the risk appetite.
ii.
Scrutinise the process by which the stress results are produced, and incorporated into the risk framework and strategic planning, and the liquidity recovery process.
iii.
Analyse the results and conclusions, with breakdown by each relevant risk driver.
Details of further stress-testing requirements are in Annexure (1).
