London Interbank Offer Rate

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London Interbank Offer Rate

The interest rate participating banks offer to other banks for loans on the London market. LIBOR is the most widely used benchmark for short term interest rates in the world, primarily because most of the world's largest borrowers borrow money on the London market. Because it is so prominent, it is often used in other transactions, such as swaps. For example, an interest rate swaps may give the floating rate as "LIBOR +/- X base points." It is set each day by the British Bankers Association, which calculates it by averaging short term, inter-bank, deposit interest rates among the most creditworthy banks. See also: EURIBOR.
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In 2012, news that the London Inter-bank Offered Rate (Libor), a benchmark interest rate widely used in the global financial sys- tem for a broad range of financial products and contracts, had been manipulated since at least the early 2000s stunned the financial community.
A culture of malfeasance
In 2012, news that the London Inter-bank Offered Rate (Libor), a benchmark interest rate widely used in the global financial system for a broad range of financial products and contracts, had been manipulated since at least the early 2000s stunned the financial community.
A culture of malfeasance: Oonagh McDonald reveals how the financial markets were rigged in the 2000s and sets out the reforms that still need to be implemented
an overdraft-like facility) secured against 10 previously unmortgaged ships at an interest cost of London Inter-Bank Offered Rate plus 1.35 percent.
Dry Bulk Operator Pacific Basin's Profit Sinks 73 Percent
Earlier, UPL Corporation had raised a three billion dollar (about Rs 20 crore) five-year unsecured term loan with a bullet repayment at end of tenure at London Inter-bank Offered Rate (LIBOR) plus 160 basis point per annum to part-finance the acquisition of Arysta Lifescience Inc.
UPL raises EUR100 million working capital loan at zero rate of interest
If the LIBOR (London Inter-bank Offered Rate) is 3 percent then the interest rates in Lebanon should be a little bit higher," the banker said.
Banks set to cut interest rates as fears subside
They routinely use interest-based benchmarks, such as the London Inter-bank Offered Rate, to price their products and services.
A critique of Islamic finance
In a footnote, the bank noted that these were medium-term loans from China that were meant for balance of payments support with an inbuilt bullet repayment feature, a maturity of two to three years and a floating rate based on the London Inter-bank Offered Rate (Libor).
Pakistan may continue to breach debt limit for next 10 years
The New Facility bears interest at a rate per annum equal to the greater of (a) the three-month London Inter-Bank Offered Rate, or (b) 1.50%, with such base rate being capped at no greater than 4.25%, plus an applicable margin of 10.50%.
Acerus Closes USD 11m Term Loan Credit Facility
EDYRF rates are based on the respective 90-day London Inter-Bank Offered Rate plus 200 basis points and the term premia for longer maturities.
Banks encouraged to buy forex needs from BSP facility
Interest is initially fixed, but rates can be changed at the lender's discretion and often rely on the London Inter-bank Offered Rate (Libor), which banks have been found to have rigged.
Fears town hall reserves could be wiped out; controversial loans issue slammed as 'an absolute dog's breakfast'
International borrowing has also gained ground after the local corporate bond market was shaken by the collapse of Chase Bank and Imperial Bank which owe bondholders nearly Sh10 billion excluding interest.IFC did not say what interest rate it will charge on the Co-op Bank loan but it has priced previous similar facilities to the lender at the London Inter-bank Offered Rate (Libor), a global benchmark, plus an unspecified premium.
Co-op Bank gets Sh15.2bn IFC loan for small firms

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