A comparison of the Australian target cash rate and the overnight interbank lending rate shows that, after around a decade of being identical, the economic impact of the coronavirus (COVID-19) pandemic led to the actual overnight lending rate being lower than the Reserve Bank of Australia's target rate. This means that banks are lending to each other at lower rates than the "official" interest rate. One reason for this is the that the Reserve bank has made money available to banks in several new ways over this period (such as repo agreements where banks can pledge assets for short term funds), increasing liquidity in the banking system. As of May 2024, the overnight interbank cash rate and the target cash rate stood at 4.32 and 4.35 percent, respectively.

The benchmark interest rate in Australia was last recorded at 4.10 percent. This dataset provides - Australia Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

On November 8, 2023, the Reserve Bank of Australia (RBA) increased the interest rate by 0.25 percentage points, bringing the interest rate to 4.35 percent. This was the thirteenth interest rate increase by the RBA since November 4, 2020, which saw the interest rate drop to a record 0.1 percent.

Since March 1999, the Reserve Bank has used the Official Cash Rate (OCR) as its tool for controlling inflation. By setting the OCR, the Reserve Bank is able to influence short-term interest rates such as the 90-day bank bill rate, as well as long-term interest rates and the foreign exchange rate. Data on the OCR and 90-day bank bill rate is available from 1990.

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.

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

Graph and download economic data for Interest Rates: Immediate Rates (< 24 Hours): Central Bank Rates: Total for China (IRSTCB01CNM156N) from Mar 1990 to Nov 2023 about overnight, China, interest rate, banks, interest, depository institutions, and rate.

New Zealand RBNZ Forecast: Offical Cash Rate: 1 Year Ahead data was reported at 3.230 % pa in Mar 2025. This records a decrease from the previous number of 3.330 % pa for Dec 2024. New Zealand RBNZ Forecast: Offical Cash Rate: 1 Year Ahead data is updated quarterly, averaging 1.870 % pa from Sep 2017 (Median) to Mar 2025, with 31 observations. The data reached an all-time high of 5.160 % pa in Sep 2023 and a record low of -0.160 % pa in Dec 2020. New Zealand RBNZ Forecast: Offical Cash Rate: 1 Year Ahead data remains active status in CEIC and is reported by Reserve Bank of New Zealand. The data is categorized under Global Database’s New Zealand – Table NZ.M004: Cash Rate: Forecast: Reserve Bank of New Zealand.

The U.S. federal funds effective rate underwent a dramatic reduction in early 2020 in response to the COVID-19 pandemic. The rate plummeted from 1.58 percent in February 2020 to 0.65 percent in March, and further decreased to 0.05 percent in April. This sharp reduction, accompanied by the Federal Reserve's quantitative easing program, was implemented to stabilize the economy during the global health crisis. After maintaining historically low rates for nearly two years, the Federal Reserve began a series of rate hikes in early 2022, with the rate moving from 0.33 percent in April 2022 to 5.33 percent in August 2023. The rate remained unchanged for over a year, before the Federal Reserve initiated its first rate cut in nearly three years in September 2024, bringing the rate to 5.13 percent. By December 2024, the rate was cut to 4.48 percent, signaling a shift in monetary policy in the second half of 2024. The first rate cut in 2025 then set the rate at 4.33 percent. What is the federal funds effective rate? The U.S. federal funds effective rate determines the interest rate paid by depository institutions, such as banks and credit unions, that lend reserve balances to other depository institutions overnight. Changing the effective rate in times of crisis is a common way to stimulate the economy, as it has a significant impact on the whole economy, such as economic growth, employment, and inflation. Central bank policy rates The adjustment of interest rates in response to the COVID-19 pandemic was a coordinated global effort. In early 2020, central banks worldwide implemented aggressive monetary easing policies to combat the economic crisis. The U.S. Federal Reserve's dramatic reduction of its federal funds rate - from 1.58 percent in February 2020 to 0.05 percent by April - mirrored similar actions taken by central banks globally. While these low rates remained in place throughout 2021, mounting inflationary pressures led to a synchronized tightening cycle beginning in 2022, with central banks pushing rates to multi-year highs. By mid-2024, as inflation moderated across major economies, central banks began implementing their first rate cuts in several years, with the U.S. Federal Reserve, Bank of England, and European Central Bank all easing monetary policy.

Official Cash Rate data was reported at 3.750 % pa in Feb 2025. This records a decrease from the previous number of 4.250 % pa for Jan 2025. Official Cash Rate data is updated monthly, averaging 3.500 % pa from Mar 1999 (Median) to Feb 2025, with 312 observations. The data reached an all-time high of 8.250 % pa in Jun 2008 and a record low of 0.250 % pa in Sep 2021. Official Cash Rate data remains active status in CEIC and is reported by Reserve Bank of New Zealand. The data is categorized under Global Database’s New Zealand – Table NZ.M001: Cash Rate.

The benchmark interest rate in India was last recorded at 6.25 percent. This dataset provides - India Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

Graph and download economic data for Commercial Bank Interest Rate on Credit Card Plans, Accounts Assessed Interest (TERMCBCCINTNS) from Nov 1994 to Nov 2024 about consumer credit, credit cards, loans, consumer, interest rate, banks, interest, depository institutions, rate, and USA.

New Zealand RBNZ Forecast: Official Cash Rate: 10 Year Average data was reported at 3.330 % pa in Mar 2025. This records an increase from the previous number of 3.320 % pa for Dec 2024. New Zealand RBNZ Forecast: Official Cash Rate: 10 Year Average data is updated quarterly, averaging 3.230 % pa from Sep 2020 (Median) to Mar 2025, with 19 observations. The data reached an all-time high of 3.660 % pa in Dec 2023 and a record low of 1.310 % pa in Dec 2020. New Zealand RBNZ Forecast: Official Cash Rate: 10 Year Average data remains active status in CEIC and is reported by Reserve Bank of New Zealand. The data is categorized under Global Database’s New Zealand – Table NZ.M004: Cash Rate: Forecast: Reserve Bank of New Zealand.

The benchmark interest rate in Japan was last recorded at 0.50 percent. This dataset provides - Japan Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

Key information about United States Short Term Interest Rate

• United States Short Term Interest Rate: Month End: Treasury Bills: 3 Months was reported at 4.20 % pa in Feb 2025, compared with 4.20 % pa in the previous month.
• US Short Term Interest Rate data is updated monthly, available from Jan 1954 to Feb 2025.
• The data reached an all-time high of 15.52 % pa in Aug 1981 and a record low of -0.01 % pa in Sep 2015.
• Short Term Interest Rate is reported by reported by Federal Reserve Board.

CEIC calculates monthly Short Term Interest Rate from daily Treasury Bills. Federal Reserve Board provides Treasury Bills. Short Term Interest Rate prior to December 1979 is sourced from the Federal Reserve Bank of St. Louis.


Related information about United States Short Term Interest Rate

• In the latest reports, US Treasury Notes Yield: Constant Maturity: Nominal: 10 Years was reported at 4.45 % pa in Feb 2025.
• The cash rate (Policy Rate: Month End: Effective Federal Funds Rate) was set at 4.33 % pa in Jan 2025.

This table contains 12 series, with data starting from 1954 (not all combinations necessarily have data for all years). This table contains data described by the following dimensions (Not all combinations are available): Geography (1 item: United States); Rates (12 items: Federal Reserve Bank of New York - discount rate; Prime rate charged by banks; Federal funds rate;Commercial paper, adjusted: 1 month; ...).

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.

The benchmark interest rate In the Euro Area was last recorded at 2.65 percent. This dataset provides - Euro Area Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

Graph and download economic data for Interest Rates: Immediate Rates (< 24 Hours): Central Bank Rates: Total for Indonesia (IRSTCB01IDM156N) from Jan 1990 to Dec 2023 about Indonesia, overnight, interest rate, banks, interest, depository institutions, and rate.

Historical dataset of the daily level of the federal funds rate back to 1954. The fed funds rate is the interest rate at which depository institutions (banks and credit unions) lend reserve balances to other depository institutions overnight, on an uncollateralized basis. The Federal Open Market Committee (FOMC) meets eight times a year to determine the federal funds target rate.