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This pathway will walk us through the basics of banks, starting with some of the different types and their main functions, then starting to look at the regulation faced by the banks, both before and after the Global Financial Crisis.

Greenwashing

Greenwashing is the act of distributing false information about something being more environmentally friendly than it actually is.

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Tackling the Cost of Living Crisis

In this video, Max discusses the cost-of-living crisis currently enveloping the UK. He examines its impact on households as well as the overall economy.

CSR and Sustainability in Financial Services

In the first video of this two-part video series, Elisa introduces us to sustainability. She begins by looking at the difference between sustainability and corporate social responsibility, two terms that can be easily confused.

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Featured Pathways

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Banking Essentials - Part I

This pathway will walk us through the basics of banks, starting with some of the different types and their main functions, then starting to look at the regulation faced by the banks, both before and after the Global Financial Crisis.

Greenwashing

Greenwashing is the act of distributing false information about something being more environmentally friendly than it actually is.

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Our Platform

Expert led content

+1,000 expert presented, on-demand video modules

Learning analytics

Keep track of learning progress with our comprehensive data

Interactive learning

Engage with our video hotspots and knowledge check-ins

Testing & certification

Gain CPD / CPE credits and professional certification

Managed learning

Build, scale and manage your organisation’s learning

Integrations

Connect Finance Unlocked to your current platform

Featured Content

More featured content

Tackling the Cost of Living Crisis

In this video, Max discusses the cost-of-living crisis currently enveloping the UK. He examines its impact on households as well as the overall economy.

CSR and Sustainability in Financial Services

In the first video of this two-part video series, Elisa introduces us to sustainability. She begins by looking at the difference between sustainability and corporate social responsibility, two terms that can be easily confused.

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Book a demo

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Excess Reserves

Excess Reserves

Glossary
Banking

Excess Reserves

Excess reserves – a.k.a. excess liquidity – are deposits that banks hold in their accounts at their central banks in excess of minimum reserve requirements. Liquidity operates in a closed system insofar as a reduction of one bank’s excess liquidity (through lending to clients) doesn’t leave the banking system; it ends up with another bank’s account at the central bank. Even if a euro investor wants to take euros out of the system to invest in US dollar assets, the investor sells euros for dollars but those euros remain with a European bank’s account at the central bank. Following the global financial crisis and the switch to full liquidity allotments rather than liquidity auctions, banks have requested a lot more liquidity for contingencies from the central bank, which has created a large excess liquidity buffer. This in turn has helped keep corporate and retail borrowing costs low, which is intended to spur lending into the real economy. In addition, ECB/Eurosystem lending and asset-purchase programmes have increased the excess liquidity buffer even more.

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