BoE drops Libor for hedging UK FX reserves

Central bank adopts Sonia in Treasury swap programme, consults on restrictions for Libor collateral

Bank of England
Bank of England: stopped using Libor swaps with fixings beyond 2021 to hedge UK government’s FX reserves

The Bank of England is putting its words into action on benchmark reform. The central bank has stopped using Libor swaps with fixings beyond 2021 to hedge the UK government’s foreign exchange reserves. It has also launched a consultation on tighter restrictions for Libor-linked collateral lodged with the central bank’s liquidity facility.

Andrew Hauser, executive director for markets at the Bank of England, said a project team at the BoE began advising HM Treasury last year on transitioning to

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here: http://subscriptions.fxweek.com/subscribe

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a FX Week account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: