What does liquidity mean?
The state or quality of being liquid; the ease with which an asset can be converted into cash. The degree to which a market or financial system can absorb and process large amounts of money or assets without significant price movements or disruptions.
Example
"The company's liquidity improved significantly after the merger, allowing it to expand its operations and invest in new projects."
Reviewed by Deb Chak, Editor. AI-assisted content curated by RJS Tech Solutions LLP.