Skip to main content

Overnight Rate

Go Search
New Atlas
Atlas, A-Z
Atlas Maps
MPP/MPA Programs
Core Topics
Illustrative Courses
Topic Encyclopedia
Concept Dictionary
Career Tips
Best Practices Project

PPGPortal > Home > Concept Dictionary > N, O > Overnight Rate

Overnight Rate  

The interest rate on very short-term loans between commercial banks.

(Mankiw, N. Gregory, Ronald Kneebone, Kenneth J. McKenzie and Nicholas Rowe. 2008. Principles of Macroeconomics, 4th Canadian ed. Toronto: Thomson Nelson.)


Generally, the overnight rate will always remain about one quarter of a percent below the bank rate.


Important Notices
© University of Toronto 2008
School of Public Policy and Governance