Euribor cuts Libor adrift in scandal storm

Brussels-based interest rate index Euribor has distanced itself from its beleaguered London counterpart Libor, saying it could not have been rigged like its British equivalent, EurActiv can reveal.

Both inter-bank interest rate setters are subject to an antitrust investigation by the European Commission to examine whether there was collusion amongst member banks in an attempt to rig rates.

Barclays Bank was fined €373 million last month in separate UK proceedings after admitting that it attempted to manipulate the Libor and Euribor rates between 2005 and 2009.

The European Commission warned yesterday (25 July) that the EU could take over supervision of benchmarks such as Libor as it launched new market rules to clamp down on rate-fixing.

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