interbank market


The loose network of negotiations and transactions occurring between banks, large financial institutions or other large companies. Interbank markets are unregulated by governmental entities, and are often associated with currency transactions. Trades can be conducted directly between each entity or through electronic brokering platforms. This market allows over 1000 banks to trade between one another.

Use interbank market in a sentence

My brother works for a major investment bank and spends most of his days trading short-term loans in the interbank market to provide liquidity.

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They went to the interbank market to obtain additional capital. They discussed their need with a handful of banks and finally found one that met their needs and rate.

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overnight money london interbank mean rate (LIMEAN)