The Sonali Bank base has received the deposit from the central bank at London
Inter Bank Offered Rate (LIBOR) plus 1.
In a circular, the State Bank of Pakistan said Islamic finance institutions would have to outline their alternative pricing mechanism for participatory financing schemes, replacing the use of the Karachi
Inter Bank Offered Rate or KIBOR.
The rate of interest offered by a bank (for both borrowing and savings) depends on a benchmark rate, like the London Interbank Offered Rate (LIBOR) or Emirates
Inter Bank Offered Rate (EIBOR), and these are not fixed.
30 percentage points over the quarterly London
inter bank offered rate.
These settlements follow the settlement reached by RBS in February 2013 with US and UK regulators in relation to investigations into submissions, communications and procedures around the setting of the London
Inter Bank Offered Rate (LIBOR).
This is because the benchmark Karachi
Inter Bank Offered Rate (Kibor) for six months is 9.
Bankers said the cut in the interest rate would reduce the Karachi
Inter Bank Offered Rate (Kibor) by 40 to 50 basis points and the benchmark six month rate could be around 9.
The coupon margin is 6% above Norwegian
Inter Bank Offered Rate (NIBOR).
Its immediate impact: the six-month benchmark Karachi
Inter Bank Offered Rate goes up from 12.
25 percentage point above Japan
inter bank offered rate (Jibor).
Through all its production channels, Countrywide now offers a variety of ARMs based on several different indexes, including the Cost of Funds Index (COFI), London
Inter Bank Offered Rate (LIBOR), Monthly Treasury Average (MTA), prime rate and Treasury.
