Shanghai interbank rate launched

The Shanghai interbank offered rate (Shibor) was launched on January 4 to establish a benchmark interest rate system for China's money market.

There are eight Shibor rates, with maturities ranging from one day to a year. The fixing is calculated from rates quoted by 16 banks, eliminating the two highest rates and the two lowest, and then averaging the remaining 12. Deutsche Bank, HSBC and Standard Chartered Bank are among the banks contributing quotes to the Shibor fixing.

Stephen Green, senio