A coupled continuum-discrete hydromechanical model was employed to analyse the effects of cementation on the dynamic response of liquefiable deposits of granular soils. The discrete element method was used to idealise the solid phase and parallel bonds were utilised to model the inter-particle cementations. The pore fluid flow was addressed using averaged Navier-Stokes equations. The conducted simulations revealed a number of salient response patterns and mechanisms. Cemented granular soils were found to be generally highly resistant to liquefaction. However, full cementation of a shallow site may lead to a significant amplification of ground accelerations. A base isolation mechanism develops when a site is partially cemented and mitigates ground shaking hazard. The employed modeling approach provides an effective tool to assess the intricate micro-mechanical response mechanisms of saturated cemented soils.