Liquidity management
Liquidity Management ensures that liquidity is available at any given time at market-based cost to meet cash flow obligations of the Bank. NIB's policy is to maintain liquidity corresponding to the projected net liquidity demand of the following twelve months. Liquidity Management also comprises the management of the Bank's balance sheet risk. This includes the mitigation of currency, interest rate and maturity risk within the balance sheet through active hedging and position-taking strategies, using derivatives within prescribed risk guidelines.
The Liquidity Management activities take place primarily in the money market and the markets for certificates of deposit, commercial papers and short government bonds. Money market futures, forward rate agreements, repos, exchange rate swaps and interest rate swaps are derivatives used for hedging and for structural position strategies.
Liquidity Management is performance-measured against a net interest income budget and the operations are subject to general balance sheet risk limits.
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Financial policies (717 kB)
Risk management
News
NIB’s 10-year Kangaroo deal increased to AUD 875m
NIB has issued its fourth increase, AUD 100 million, to its 10-year Kangaroo issue due 19 April 2022.
15 May 2013
NIB in 2012: Strong demand for long-term lending in the Nordic-Baltic region
In 2012, the NIB saw further growth of its lending activities. This reflects the continued need for long-term financing in the Nordic-Baltic region. The annual profit of EUR 209 million builds a solid platform for supporting major investment projects.
12 Mar 2013
New Kangaroo bond launched and priced
NIB has priced and launched a new fixed-rate AUD 400 million Kangaroo bond.
25 Feb 2013
