German interest rates

In Germany, the Bundesbank has three main interest rates. They are:

the Repo Rate which sets the tone for money market rates;

the Discount Rate which sets a floor for money market ratesand

the Lombard Rate which sets the ceiling for money market rates.

The Discount Rate becomes more important when interest rates are falling and vice versa, the Lombard Rate is more important when they are rising.

See also Bank of England , Federal Reserve Board .

See Also: Online share dealing service Stockmarket Centre

Last Updated: June 2006 © Moneyextra.com

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