Finance
Bank of England allots second-highest amount on record at short-term repo
Published by Global Banking & Finance Review®
Posted on January 2, 2025
1 min readLast updated: January 27, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on January 2, 2025
1 min readLast updated: January 27, 2026
The Bank of England's first 2025 short-term repo saw a record 46.180 billion pounds allotted, impacting interbank lending rates.
LONDON (Reuters) - The Bank of England said on Thursday it had allotted 46.180 billion pounds ($57.49 billion) at its first short-term repo of 2025, the second-highest amount on record and up from 38.075 billion pounds at a repo on Dec. 19.
The short-term repo allows banks to borrow money from the BoE - usually for a seven-day period - in exchange for high-quality collateral and is designed by the BoE to keep interbank lending rates close to its policy interest rate.
The highest amount allotted in the repo was 46.743 billion pounds on Oct. 24.
($1 = 0.8033 pounds)
(Reporting by David Milliken, editing by Andy Bruce)
The article discusses the Bank of England's record short-term repo allotment in 2025, impacting interbank lending rates.
A short-term repo is a financial instrument where banks borrow money from the BoE using high-quality collateral, usually for seven days.
This repo is significant due to its record allotment amount, indicating the BoE's efforts to maintain stable interbank lending rates.
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