LIBOR Transition – A Quick take
March 3, 2022
LIBOR stands for London Interbank Offered Rate and is published by the Intercontinental Exchange (ICE) Benchmark Association, UK. It is currently the accepted key benchmark interest rate for borrowing between banks in the international market. LIBOR is also the basis for FCY loans in countries around the world, thus impacting consumers as much as Financial Institutions. LIBOR is published for major currencies in different tenors (overnight, 1-week, 1- month, 3-months, 6-months, 1-year). The 3-months term is most common.