TERMIUM Plus®

The Government of Canada’s terminology and linguistic data bank.

VARIABLE LENDING RATE SYSTEM [1 record]

Record 1 1998-04-20

English

Subject field(s)
  • Loans
OBS

Under the revised system, which will apply to loans whose invitation to negotiate is sent on or after May 18,1989, calculation of the average cost of the Bank's debt for the purpose of setting the lending rate will be done by using currency weights representing the composition of currencies in the currency pool rather than the composition of currencies in the Bank's debt, qualified borrowings will be redefined to exclude those borrowings allocated to the funding of the Bank's investment in liquid assets and two technical adjustments will be made to reduce the lag between the time period over which the Bank's average cost of debt is calculated and the period over which the lending rate is applied to balances outstanding on a given loan, with the new lending rate being calculated quarterly and new rates being applied at the start of each quarter rather than at the start of each interest period.

French

Domaine(s)
  • Prêts et emprunts

Spanish

Campo(s) temático(s)
  • Préstamos
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