NSFR (Net Stable Funding Ratio)

A bank liquidity metric comparing available stable funding (deposits, long-term wholesale funding, capital) against required stable funding (the portion of assets, like long-term loans, that can't be quickly turned into cash).

Definition

Net Stable Funding Ratio – A bank liquidity metric comparing available stable funding (deposits, long-term wholesale funding, capital) against required stable funding (the portion of assets, like long-term loans, that can't be quickly turned into cash). Meant to catch a bank funding illiquid assets with liquidity that could evaporate quickly. Indonesia's regulator (OJK) requires a minimum of 100%.
Found In: Financial Ratios disclosure (regulatory publication)