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CEFR C1 — Advanced

Liquidity

Definition

(formal) The state of being able to meet financial obligations or to convert assets into cash quickly and easily; the availability of liquid assets, especially cash, to meet financial needs.

Example Sentences

1The company's liquidity crisis made it difficult to pay its suppliers on time.
2How does a central bank typically respond to a decline in market liquidity?
3The new regulations aim to improve the liquidity of the stock market by increasing transparency and reducing trading costs.
4The startup's high liquidity ratio made it an attractive investment opportunity for venture capitalists.
5Economists are concerned that the current economic downturn could lead to a global liquidity shortage, making it harder for businesses to access credit.

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