euribor

EURIBOR stands for Euro Interbank Offered Rate. It is the euro area benchmark rate indicating the average rate at which euro-area banks are willing to lend unsecured funds to other banks in the euro interbank market. EURIBOR rates are published for multiple maturities and are used as reference rates in a wide range of euro-denominated financial contracts.

For each tenor, a panel of major euro-area banks submits the rate at which they could borrow unsecured funds. After collecting submissions, the highest and lowest quotes are often excluded and the remaining quotes are averaged to produce the EURIBOR for that tenor. The European Money Markets Institute (EMMI) administers and publishes EURIBOR.

EURIBOR is published for several maturities, commonly including 1 week, 1 month, 3 months, 6 months and 12 months.

It serves as a reference rate for euro-denominated loans, mortgages, and derivatives such as interest-rate swaps. It is used by banks, corporations, and financial counterparties to price and manage interest-rate risk across a range of products.

Regulation and governance: EURIBOR operates under the EU Benchmark Regulation (BMR) and is subject to oversight designed to prevent manipulation. The rate has been updated through reforms to strengthen governance and calculation methods and to enhance transparency.

Relationship to other benchmarks: Since the late 2010s, many euro-denominated products have migrated toward alternative reference rates for certain uses, notably the euro short-term rate (€STR) for overnight borrowing, while EURIBOR remains in use for legacy contracts and some new term contracts.