InvestorWords.com

Lombard rate


Definition

Interest rate at which the Bundesbank (Germany's central bank) lends short-term funds to other German banks. Normally about 0.5 percent above the Bundesbank's discount rate, it is an indicator of the state of German financial markets. Called lombardsatz in Germany. The term Lombard refers to the pioneer medieval bankers from the Italian Lombard region who were originally Germanic people.


Related Videos




Search for another term


Browse by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z