IBOR Transition

The international reference interest rate landscape is still undergoing fundamental changes. DZ BANK remains a reliable partner for its customers in this situation. The following reference interest rates (benchmarks) are particularly affected by these changes:

EONIA / LIBOR (CHF, GBP, JPY, EUR): Since the end of 2021, these rates are no longer published; transactions and contracts relating to these rates have been adjusted. Solely in case of JPY- and GBP-LIBOR, there are so-called synthetic rates, which are only to be used for ‘Tough Legacy‘ cases designated by competent supervisory authorities.

USD-LIBOR: Publication will cease as of June 30, 2023. Transactions and contracts with reference to these rates must be transitioned by then.

EURIBOR: This rate has been reformed and can continue to be used without
restrictions.

Working groups have been formed in the various jurisdictions, which have developed almost risk-free reference interest rates (RFR) as alternatives to the previous reference rates. The new risk-free reference rates have already replaced the previous reference rates in contracts and trades to a large extend. However, this process not yet fully completed.

In addition, specific fallback provisions are  agreed upon in contracts to cover the possible future elimination of reference interest rates.