The Global Reference Rates Reform and Its Impact on The Bulgarian Banking Industry
This paper analyses the problems that market users face after the global scale reform of reference rates. The plan to replace the LIBOR with new deeply market-rooted reference rates urge both private and public sectors to unite efforts in finding sustainable and long-term decisions promoting financial stability. Some of the previously existing rates are substantially revised, others – phased out, and a third group – that of the nearly risk-free rates is in a stage of development and testing. It is too soon to measure the impact of those reforms adequately. However, a detailed discussion of the basic features of the reference rates helps to make some preliminary conclusions in the case of Bulgaria.