The U.S. bank prime loan rate has undergone significant fluctuations over the past three decades, reflecting broader economic trends and monetary policy decisions. From a high of 10.1 percent in 1990, the rate has seen periods of decline, stability, and recent increases. As of February 2025, the prime rate stood at 7.5 percent, marking a notable rise from the historic lows seen in the early 2020s. Federal Reserve's impact on lending rates The prime rate's trajectory closely mirrors changes in the federal funds rate, which serves as a key benchmark for the U.S. financial system. In 2023, the Federal Reserve implemented a series of rate hikes, pushing the federal funds target range to 5.25-5.5 percent by year-end. This aggressive monetary tightening was aimed at combating rising inflation, and its effects rippled through various lending rates, including the prime rate. Long-term investment outlook While short-term rates have risen, long-term investment yields have also seen changes. The 10-year U.S. Treasury bond, a benchmark for long-term interest rates, showed an average market yield of 2.13 percent in the second quarter of 2024, adjusted for constant maturity and inflation. This figure represents a recovery from negative real returns seen in 2021, reflecting shifting expectations for economic growth and inflation. The evolving yield environment has implications for both borrowers and investors, influencing decisions across the financial landscape.

Graph and download economic data for Bank Prime Loan Rate Changes: Historical Dates of Changes and Rates (PRIME) from 1955-08-04 to 2024-12-20 about prime, loans, interest rate, banks, interest, depository institutions, rate, and USA.

The benchmark interest rate in China was last recorded at 3.10 percent. This dataset provides the latest reported value for - China Interest Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

Policy interest rates in the U.S. and Europe are forecasted to decrease gradually between 2024 and 2027, following exceptional increases triggered by soaring inflation between 2021 and 2023. The U.S. federal funds rate stood at 5.38 percent at the end of 2023, the European Central Bank deposit rate at four percent, and the Swiss National Bank policy rate at 1.75 percent. With inflationary pressures stabilizing, policy interest rates are forecast to decrease in each observed region. The U.S. federal funds rate is expected to decrease to 3.5 percent, the ECB refi rate to 2.65 percent, the Bank of England bank rate to 3.33 percent, and the Swiss National Bank policy rate to 0.75 percent by 2025. An interesting aspect to note is the impact of these interest rate changes on various economic factors such as growth, employment, and inflation. The impact of central bank policy rates The U.S. federal funds effective rate, crucial in determining the interest rate paid by depository institutions, experienced drastic changes in response to the COVID-19 pandemic. The subsequent slight changes in the effective rate reflected the efforts to stimulate the economy and manage economic factors such as inflation. Such fluctuations in the federal funds rate have had a significant impact on the overall economy. The European Central Bank's decision to cut its fixed interest rate in June 2024 for the first time since 2016 marked a significant shift in attitude towards economic conditions. The reasons behind the fluctuations in the ECB's interest rate reflect its mandate to ensure price stability and manage inflation, shedding light on the complex interplay between interest rates and economic factors. Inflation and real interest rates The relationship between inflation and interest rates is critical in understanding the actions of central banks. Central banks' efforts to manage inflation through interest rate adjustments reveal the intricate balance between economic growth and inflation. Additionally, the concept of real interest rates, adjusted for inflation, provides valuable insights into the impact of inflation on the economy.

Graph and download economic data for Bank Prime Loan Rate (DPRIME) from 1955-08-04 to 2025-03-24 about prime, loans, interest rate, banks, interest, depository institutions, rate, and USA.

The benchmark interest rate in Mexico was last recorded at 9.50 percent. This dataset provides - Mexico Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

Graph and download economic data for Bank Prime Loan Rate (WPRIME) from 1955-08-10 to 2025-03-19 about prime, loans, interest rate, banks, interest, depository institutions, rate, and USA.

Forecast: Bank Lending Interest Rate in Canada 2022 - 2026 Discover more data with ReportLinker!

United States Prime Lending Rate: Month Average data was reported at 7.500 % pa in Feb 2025. This stayed constant from the previous number of 7.500 % pa for Jan 2025. United States Prime Lending Rate: Month Average data is updated monthly, averaging 5.835 % pa from Jan 1949 (Median) to Feb 2025, with 914 observations. The data reached an all-time high of 20.500 % pa in Aug 1981 and a record low of 2.000 % pa in Aug 1950. United States Prime Lending Rate: Month Average data remains active status in CEIC and is reported by Federal Reserve Board. The data is categorized under Global Database’s United States – Table US.M009: Lending Rates.

The benchmark interest rate in Sweden was last recorded at 2.25 percent. This dataset provides the latest reported value for - Sweden Interest Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

Botswana Real Interest Rate: Prime Lending Rate data was reported at 4.238 % pa in Dec 2024. This records a decrease from the previous number of 4.240 % pa for Nov 2024. Botswana Real Interest Rate: Prime Lending Rate data is updated monthly, averaging 3.960 % pa from Jan 2003 (Median) to Dec 2024, with 264 observations. The data reached an all-time high of 9.600 % pa in Apr 2007 and a record low of -7.030 % pa in Jul 2022. Botswana Real Interest Rate: Prime Lending Rate data remains active status in CEIC and is reported by Bank of Botswana. The data is categorized under Global Database’s Botswana – Table BW.M002: Real and Nominal Interest Rate.

Key information about United States Bank Lending Rate

• United States Bank Lending Rate was reported at 7.500 % pa in Mar 2025.
• This stayed constant from the previous number of 7.500 % pa for Mar 2025.
• US Bank Lending Rate data is updated daily, averaging 4.250 % pa from Aug 1955 to 24 Mar 2025, with 25436 observations.
• The data reached an all-time high of 8.500 % pa in 18 Sep 2024 and a record low of 3.250 % pa in 16 Mar 2022.
• US Bank Lending Rate data remains active status in CEIC and is reported by CEIC Data.
• The data is categorized under World Trend Plus’s Global Economic Monitor – Table: Bank Lending Rate: Daily.

Graph and download economic data for Bank Prime Loan Rate (MPRIME) from Jan 1949 to Feb 2025 about prime, loans, interest rate, banks, interest, depository institutions, rate, and USA.

Botswana Nominal Interest Rate: Annual: Prime Lending Rate data was reported at 6.010 % pa in 2024. This records a decrease from the previous number of 6.510 % pa for 2023. Botswana Nominal Interest Rate: Annual: Prime Lending Rate data is updated yearly, averaging 12.750 % pa from Dec 1993 (Median) to 2024, with 32 observations. The data reached an all-time high of 16.750 % pa in 2002 and a record low of 5.250 % pa in 2021. Botswana Nominal Interest Rate: Annual: Prime Lending Rate data remains active status in CEIC and is reported by Bank of Botswana. The data is categorized under Global Database’s Botswana – Table BW.M002: Real and Nominal Interest Rate.

China Loan Prime Rate: 1 Year data was reported at 4.310 % pa in 16 Aug 2019. This stayed constant from the previous number of 4.310 % pa for 15 Aug 2019. China Loan Prime Rate: 1 Year data is updated daily, averaging 4.310 % pa from Oct 2013 (Median) to 16 Aug 2019, with 1454 observations. The data reached an all-time high of 5.770 % pa in 16 Jun 2014 and a record low of 4.300 % pa in 04 Apr 2018. China Loan Prime Rate: 1 Year data remains active status in CEIC and is reported by National Interbank Funding Center. The data is categorized under China Premium Database’s Money Market, Interest Rate, Yield and Exchange Rate – Table CN.MA: Rediscount and Lending Rate.

Graph and download economic data for FOMC Summary of Economic Projections for the Fed Funds Rate, Median (FEDTARMD) from 2025 to 2027 about projection, federal, median, rate, and USA.

The benchmark interest rate in Norway was last recorded at 4.50 percent. This dataset provides the latest reported value for - Norway Interest Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

In January 2025, global inflation rates and central bank interest rates showed significant variation across major economies. Most economies initiated interest rate cuts from mid-2024 due to declining inflationary pressures. The U.S., UK, and EU central banks followed a consistent pattern of regular rate reductions throughout late 2024. In early 2025, Russia maintained the highest interest rate at 21 percent, while Japan retained the lowest at 0.5 percent. Varied inflation rates across major economies The inflation landscape varies considerably among major economies. China had the lowest inflation rate at 0.5 percent in January 2025. In contrast, Russia maintained a high inflation rate of 9.9 percent. These figures align with broader trends observed in early 2025, where China had the lowest inflation rate among major developed and emerging economies, while Russia's rate remained the highest. Central bank responses and economic indicators Central banks globally implemented aggressive rate hikes throughout 2022-23 to combat inflation. The European Central Bank exemplified this trend, raising rates from 0 percent in January 2022 to 4.5 percent by September 2023. A coordinated shift among major central banks began in mid-2024, with the ECB, Bank of England, and Federal Reserve initiating rate cuts, with forecasts suggesting further cuts through 2025 and 2026.

Bank Lending Rate in Thailand remained unchanged at 6.75 percent in February. This dataset provides - Thailand Prime Lending Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

Jordan Prime Lending Rate: Annual data was reported at 8.830 % pa in 2017. This records an increase from the previous number of 8.370 % pa for 2016. Jordan Prime Lending Rate: Annual data is updated yearly, averaging 8.370 % pa from Dec 1995 (Median) to 2017, with 23 observations. The data reached an all-time high of 13.970 % pa in 1998 and a record low of 6.000 % pa in 2004. Jordan Prime Lending Rate: Annual data remains active status in CEIC and is reported by Central Bank of Jordan. The data is categorized under Global Database’s Jordan – Table JO.M002: Prime Lending Rate.