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Friday, August 10, 2012

''A $64,000 Question? $300 Trillion Libor Quiz''

From SkyNews

''One very big figure jumps out of Martin Wheatley's discussion paper on the future of interbank lending: $300 trillion.

That is the amount of outstanding loans worldwide whose repayment rates are based on the London Interbank Offered Rate (Libor).

Libor is not just about banks lending to each other. In fact, the scandal is about the level that banks declared Libor to be rather than the rate they were actually paying on loans between them.''

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