The response to the Covid-19 pandemic has had a profound effect on businesses across the globe – putting the most resilient of business continuity plans through their paces. For the complex, closely regulated structures of financial institutions, external shocks the size of the current pandemic can impede and dislocate entire value chains.
As with previous shocks, such as the 9/11 attacks of 2001, the movement of money is heavily impacted by changeable organisational needs – with many businesses moving funds from illiquid assets, such as stocks and bonds, to liquid assets, such as cash, at their banks.
