As from December 31, 2021, banks will no longer be compelled to
provide LIBOR quotations. This means that the market's most
common method of setting interest rates will be discontinued. This
change will have broad implications, affecting loan agreements,
bond agreements, leasing arrangements, derivative products and many
more existing transactions.
In response to this deadline, working groups have been set up in
respect of the five main IBOR currencies. These working groups have
designated a preferred replacement rate and are working on the
mechanics for making these available to the market in the next two
years.
| Jurisdiction |
Working Group Sponsor |
LIBOR currency |
Replacement RFR |
