the rate upon which a bank bases the rate that it will charge on advances; the latter will be higher than the base rate and will depend upon the type of advance and the credit rating of the customer
the published rate to which most of a bank's lending is linked and which reflects the cost of funds. The rates actually charged range upward from base rate + 1 per cent depending on the borrower
CIRRs shall equal a base rate plus 100 basis points. For each currency, the base rates may be either:
(i) three-year government bond yields for repayment terms up to and including five years, five-year government bond yields for over five up to and including eight-and-a-half years, and seven-year government bond yields for over eight-and-a-half years, or
(ii) five-year government bond yields for all maturities.
Each Participant shall initially select one of the two base rate systems for its currency. Other Participants shall use this system for financing offered in that currency.
