Finance · Interest Rate Swaps

Two banks enter into a standard plain vanilla Interest Rate Swap where Bank A pays a fixed rate and Bank B pays a floating rate on a Notional Principal of 50 crore. Consider the following statements: I. The Notional Principal of 50 crore is not exchanged between Bank A and Bank B at the start or end of the swap. II. If interest rates rise substantially, Bank A (fixed-rate payer) will experience an unrealized loss on the swap's market valuation. III. The primary risk being managed through this swap for Bank A is Liquidity Risk. Which of the above statements is/are correct?