Lombard rate

Lombard rate

Applies mainly to international equities. Interest rate the German Bundesbank uses as an upper limit to the day-to-day money rate, since no bank will pay higher rates in the money market than it has to pay for very short-term recourse to Lombard credit.

Lombard Rate

The interest rate the Deutsche Bundesbank charges other banks for collateralized loan obligations. Previously, the Lombard rate could be raised or lowered in keeping with Germany's monetary policy. However, since the euro came into being, Germany no longer controls its own monetary policy.

Lombard rate

The rate of interest at which the Bundesbank, Germany's central bank, lends funds to the country's commercial banks. The Lombard rate is an important indicator of Germany's monetary policy.
References in periodicals archive ?
75 percent, the rediscount rate at 5 percent, the Lombard rate at 6.
The central bank also said it will cut the Lombard rate to 0.
For the case of the Bundesbank, our estimates suggest that the Lombard rate (a rate analogous to the discount rate in the United States) is a marginally better indicator of policy than the call rate, a short-term rate that has been used often as a policy indicator in previous studies.
On November 2, 1990, the Bundesbank raised the lombard rate from 8 to 8.
The loans will have an 18-month grace period for payment of interest; and the interest rate will be 2% over the German Lombard rate.
75 percent, the Lombard rate at 6 percent and the deposit rate at 3 percent.
The Bundesbank accepted a drop in the rate at which it routinely supplies liquidity to the banking system and announced a further reduction in its Lombard rate of 1/2 percentage point to 7.
The central bank of Croatia has announced that it has lowered its Lombard rate.
The German Bundesbank reduced its official discount rate and its Lombard rate each 100 basis points in a series of steps undertaken during the February-April period to stimulate the weakening German economy.
Although the hike in the discount rate did not spur significant gains in money market rates and the Bundesbank denied that a Lombard rate increase would necessarily follow, market participants believed that the move paved the way for a subsequent rise in short-term mark rates.
75 per cent and maintained the Lombard rate at six per cent.
75 percent, the Lombard rate at 6 percent, and the deposit rate at 3 percent, it said.