Abstract
This research is interested in the analytical study of the risks of liquidity. The problem of the study consists of the availability of the information required for measuring and analyzing liquidity risk for the purpose of precautions, and showed liquidity risk in the event of inadequate cash inflows to the bank to meet the cash outflows. So, it is revealed the cash flow analytical tool helps the bank management to obtain this information, and to develop appropriate strategies, which include a ratio for capital adequacy. The study aims to set the financial indicators and ratios that help assessing the liquidity through cash flow ratio, and the relationship between capital adequacy and liquidity risk. The researcher used the analytical method to derive the results from the annual financial reports of the study sample. The study concluded some important results; some of them are financial analysis of each of the liquidity risk using cash flow detection, and capital adequacy using financial ratios. The capital adequacy is not affected by liquidity risk, due to the activities and events exercised by the bank. The study recommends the need to strengthen the capacity and capability of the banks in liquidity risk and diagnosing early, and the exploitation of available liquidity at the bank and investing cash surplus efficiently.
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