In Germany, the interest rate charged by the central bank to other financial institutions. The Lombard rate is closely watched by the credit markets because it serves as a ceiling for short-term money-market rates.
Rate at which the Central Bank provides loans to banks secured against first class paper. Named for the medieval bankers of Northern Italy.
The interest rate at which the Bundesbank ( q.v.) extends credit to commercial banks in order to cover temporary financing gaps. It is usually somewhat higher than the Bundesbank's discount rate ( q.v.).