solvency.

The financial capacity to meet debts and other obligations as they fall due.

Use it for

Words that belong together

• financial solvency
• solvency assessment

On the page

The review examined solvency under adverse conditions rather than relying on one profitable year.

An institution’s solvency could not be judged from its cash balance alone.

Usage notes

Primary category: economics / business / social science. Forms: Usually uncountable. Legacy lexical fields mirror sense 1 only. Use numbered sense fields for all meanings. Established modern English lexical item. No separate regional spelling or grammatical inflection entry. Writing functions: financial analysis, risk evaluation, comparison, explanation. Disciplines: economics, finance, business. Commonness: moderately common.