Industry Faces Transition Challenges

  • From April 1 onwards, sterling LIBOR cannot be sued in any new lending or other cash products that mature after the end of 2021 when RFR will be used. UK has chosen SONIA as the replacement rate
  • Challenges still loom over the transition process. Capco, a management and technology consultancy, said that the lack of liquidity in both over-the-counter and exchange-traded markets, a lack of mutually agreed market convention, and a lack of agreement on fallback methodology are among the most pressing challenges