EU Tells Firms To Write New Benchmark Rate Into Contracts

Law360, London (May 16, 2019, 2:00 PM BST) -- The European Central Bank has urged the bloc’s financial institutions to begin referring to the European Union’s new unsecured overnight borrowing rate in new contracts and those set to mature before the current scandal-hit eurozone benchmark is dropped in 2021.

Banks should move away from using the existing Euro Overnight Index Average, or EONIA, as a reference rate for financial products and contracts, the ECB said on Wednesday. The ECB is asking them instead to use the new wholesale overnight bank borrowing rate, known as the Euro Short-Term Rate, known as €STR, when it begins publishing the new benchmark in October....

Stay ahead of the curve

In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.


  • Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
  • Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
  • Create custom alerts for specific article and case topics and so much more!

TRY LAW360 FREE FOR SEVEN DAYS