bank discount rate

Central bank discount rate:

Instead, Mr. Greenspan relied on incrementally lowering the bank discount rate, thereby lowering interest rates generally.

A variety of instruments are available for the conduct of monetary policy, such as reserve requirements, special deposits, open market operations, and the central bank discount rate.

On Aug. 28, the Italian Government announced it would raise its bank discount rate as well as taxes on consumer goods and gasoline.

The Swiss franc also advanced on expectations of a rise in Swiss bank discount rates from the present level of 6 percent to battle rising inflation in that country.

The Bank Discount rate is the rate at which a Bill is quoted in the secondary market and is based on the par value, amount of the discount and a 360-day year.