JPY LIBOR

LIBOR.

The former JPY LIBOR provided an indication of the average rate at which contributory panel banks in London could obtain wholesale, unsecured funding for a given period, denominated in JPY.

It ceased to be calculated and published in this way with effect from 4 January 2022.

It then became subject to a further, limited, transitional "synthetic" period to the end of 2022.

New use of synthetic LIBOR is banned

"The 1, 3 and 6 month sterling and Japanese yen LIBOR settings are Article 23A benchmarks, meaning they are now permanently unrepresentative of the underlying market they seek to measure. This is because the panel of banks, which used to provide submissions to create these rates, has now ended.

From today [4 January 2022], these 6 LIBOR settings will be calculated in a way that does not rely on submissions from panel banks. Market participants generally call this 'synthetic' LIBOR...

Synthetic yen LIBOR will cease at the end of 2022...

We also remind market participants that new use of synthetic LIBOR is banned."

Changes to LIBOR as of end-2021 - Financial Conduct Authority.

Not to be confused with TIBOR.

LIBOR ended in September 2024.

The end of LIBOR

"Yesterday, 30 September 2024, the remaining synthetic LIBOR settings were published for the last time and LIBOR came to an end. All 35 LIBOR settings have now permanently ceased.

The transition away from LIBOR, once referenced in an estimated $400 trillion of financial contracts, has made financial markets safer, more stable and fit for modern use. UK regulators, their international counterparts and market participants have worked together over the past decade to move to risk-free rates (“RFRs”), based on robust data.

Synthetic LIBOR was a temporary bridge to give firms more time to move outstanding legacy LIBOR-linked contracts towards alternative RFRs, allowing for an orderly cessation."

Press release - Bank of England - 1 October 2024.

See also

• Bank of England
• Financial Conduct Authority (FCA)
• Japan
• JPY
• JPY TIBOR
• LIBOR
• Synthetic LIBOR
• TIBOR
• USD LIBOR

Other resources

• The end of LIBOR - Press release - Bank of England - 1 October 2024

• Changes to LIBOR as of end-2021 - Financial Conduct Authority