The London Interbank Offered Rate (LIBOR) is a benchmark interest rate used by major global banks in the international interbank market to lend to one another for short-term loans.

LIBOR (London Interbank Offered Rate) is a globally recognized key benchmark interest rate that indicates borrowing costs between banks. The Intercontinental Exchange (ICE) calculates and publishes the rate every day, but due to recent scandals and questions about its validity as a benchmark rate, it is being phased out.

The London Interbank Offered Rate (LIBOR) is a benchmark interest rate that serves as a reference for short-term interbank borrowing costs. It is widely used in financial markets as the basis for determining interest rates on various financial instruments, including loans, derivatives, and mortgages. LIBOR is calculated by averaging the interest rates at which a panel of major banks in London believes they could borrow funds from each other in the interbank market. The rate is quoted for various currencies and different maturities, such as overnight, one week, one month, three months, and so on. LIBOR has been a crucial benchmark for global financial markets, but its credibility has been questioned, leading to reforms. As of my last knowledge update in January 2022, efforts were underway to transition from LIBOR to alternative reference rates, such as the Secured Overnight Financing Rate (SOFR) in the United States.