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LIBOR

LIBOR stands for the London Interbank Offered Rate and is the rate of interest at which banks borrow funds from other banks in the London wholesale (or "interbank") money market. The British Bankers Association (BBA) LIBOR rate is a widely used reference rate for forward rate agreements, and interest rate swaps. It is based on inter-bank deposit rates offered by designated contributor banks. It is compiled by the BBA and released to the market at about 11:00 each day.

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