This section should present an overview of the ILAAP methodology and results. This overview should include:
i.
The purpose and coverage of the ILAAP.
ii.
The main findings of the ILAAP analysis:
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How much and what composition of liquidity the bank considers it should hold as compared with the liquidity resource requirement ‘pillar 1’ calculation.
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The adequacy of the bank’s liquidity risk management processes.
iii.
A summary of the financial projections, including the strategic position of the bank, its balance sheet strength, and future profitability.
iv.
Brief descriptions of liquidity plans; how the bank intends to manage liquidity going forward and for what purposes.
v.
Commentary on the most material liquidity risks, why the level of risk is acceptable or, if it is not, what mitigating actions are planned.
vi.
Commentary on major issues where further analysis and decisions are required.
vii.
Who has carried out the assessment, how it has been challenged, and who approved it.
