Lombard rate
English
Etymology
Lombard (“banker or moneylender”)
Noun
Lombard rate (plural Lombard rates)
- (finance) An interest rate charged by a central bank for very short-term loans to other banks against an approved collateral.
Usage notes
The term has been used internationally mainly to refer to an interest rate applied by the German central bank, the Bundesbank, but it has been used also in other countries. Other names are used of similar facilities by other central banks. Since the introduction of the euro, the ECB has used the term marginal lending rate to describe a similar interest rate.
Translations
interest rate
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