Printer Friendly

Swiss central bank launches new policy rate.

BANKING AND CREDIT NEWS-June 13, 2019--Swiss central bank launches new policy rate

(C)2019 M2 COMMUNICATIONS http://www.m2.com

Global Banking News - 13 June 2019

The Swiss central bank has said that it has introduced a new policy rate in place of Libor.

The move comes following revelations that Libor had been manipulated by banks to suit their interests. Libor, which has lost credibility since the scandal, is now being replaced by the Swiss central bank after about two decades.

Libor's end date has been set for 2021.

The new SNB policy rate is to target short-term rates on the money market, central bank president Thomas Jordan said. Such rates can be measured by the transaction-based Swiss Average Rate Overnight, or SARON.

SARON has been in place for a decade and is administered by stock market operator, SIX.

[Editorial queries for this story should be sent to gbn@enpublishing.co.uk]

((Comments on this story may be sent to info@m2.com))

COPYRIGHT 2019 Normans Media Ltd.
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2019 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:M2 Banking & Credit News (BCN)
Date:Jun 13, 2019
Words:163
Previous Article:Brazil central bank official says fiscal reforms are crucial for the nation.
Next Article:EC says non performing loans decreasing in EU.
Topics:

Terms of use | Privacy policy | Copyright © 2020 Farlex, Inc. | Feedback | For webmasters