Euro Interbank Offered Rate (Euribor)

The Euro Interbank Offered Rate (Euribor) is a benchmark interest rate that reflects the average rate at which selected eurozone banks lend unsecured funds to one another on the short-term money market. It is widely used as a reference for euro-denominated financial products including mortgages, consumer loans, savings accounts, and derivatives.

Key features

Maturities: five published tenors — 1 week, 1 month, 3 months, 6 months, and 12 months.
Scope: rates represent unsecured interbank lending across the eurozone.
Contributors: a panel of major European banks (19 panel banks).
Administration: calculated by a benchmark administrator (Global Rate Set Systems Ltd.) and published by the European Money Markets Institute (EMMI).
Frequency: rates are published daily and influence a wide range of financial contracts and pricing.

How Euribor is used

As a reference rate for consumer and commercial loans (adjustable-rate mortgages, business loans).
In pricing and settlement of derivatives (swaps, futures).
As an indicator of short-term liquidity and bank funding conditions in the euro area.

Euribor vs. €STR

Euribor: a forward-looking set of term rates (1 week–12 months) based on banks’ submitted borrowing/offered rates; includes bank credit and term risk.
€STR (Euro Short-Term Rate): a backward-looking overnight rate based on actual overnight transactions; considered a near risk-free reference because it excludes significant bank credit and term risk.
Euribor and €STR serve different roles — Euribor provides term indications for market contracts, while €STR is used where a transaction-based overnight benchmark is preferred.

Related benchmarks and history

LIBOR (London Interbank Offered Rate) was the former global interbank benchmark for many currencies; it has been phased out and replaced in various jurisdictions (e.g., SOFR in the U.S., SONIA in the U.K.).
EONIA (Euro Overnight Index Average) was discontinued and replaced by €STR as the euro overnight benchmark.

Quick FAQs

What is an interbank lending rate?
The interest rate at which banks lend to one another short term to manage liquidity and meet reserve needs.
How many Euribor rates are published?
Five: 1 week, 1 month, 3 months, 6 months, and 12 months.
Who determines Euribor?
A panel of major eurozone banks submit rates; the benchmark is compiled and published by EMMI via an appointed administrator.

Bottom line

Euribor is the primary euro-denominated term benchmark reflecting unsecured short-term funding costs among major eurozone banks. Its daily published rates across five maturities are central to pricing many loans and financial contracts and provide a gauge of euro-area liquidity and credit conditions.

Euro Interbank Offer Rate (Euribor)