Intercontinental Exchange, Inc. (NYSE:ICE), a leading operator of global exchanges and clearing houses and provider of mortgage technology, data and listings services, announces that ICE Benchmark Administration Limited (IBA) will consult on its intention to cease the publication of all GBP, EUR, CHF and JPY LIBOR settings. Discussions involving IBA, the Financial Conduct Authority (FCA), other official sector bodies and the panel banks are continuing regarding the future of USD LIBOR.
In July 2017, the FCA announced its intention that it would no longer be necessary to persuade, or compel, banks to submit to LIBOR after December 31, 2021. Since then, the FCA and other official sector bodies have strongly advised end-users of the need to transition from LIBOR by December 31, 2021. IBA has engaged with end-users, panel banks, the FCA and other official sector bodies regarding the potential for continuing certain widely-used LIBOR settings after December 31, 2021, where necessary to support transition.
Based on feedback and information received from the panel banks, and following discussions with the FCA and other official sector bodies, IBA will, in the near future, consult on its intention to cease the publication after December 31, 2021, of the following LIBOR settings:
- GBP – all tenors (overnight, 1 week, 1, 2, 3, 6 and 12 months)
- EUR – all tenors (overnight, 1 week, 1, 2, 3, 6 and 12 months)
- CHF – all tenors (spot next, 1 week, 1, 2, 3, 6 and 12 months)
- JPY – all tenors (spot next, 1 week, 1, 2, 3, 6 and 12 months)
Discussions involving IBA, the FCA, other official sector bodies and the panel banks are continuing regarding the future of USD LIBOR. IBA expects to be able to make further announcements regarding USD LIBOR when the discussion process concludes. There can be no certainty or guarantee that IBA will be able to publish any USD LIBOR settings after December 31, 2021.
This press release is not, and must not be taken to be, an announcement that IBA will continue or cease the publication of any LIBOR settings after December 31, 2021. IBA expects to make separate announcements in this regard following the outcome of the consultations, and subject to any rights of the FCA to compel IBA to continue publication.
An FCA statement regarding the use of certain of its proposed new powers can be found here.
