Dic: bank rate (or discount rate)

1.
Bank rate, also referred to as the discount rate, is the rate of interest which a central bank charges on the loans and advances to a commercial bank.  (... ...)

........... http://en.wikipedia.org/wiki/Bank_rate

2.
bank rate: Interest rate at which a central bank will advance short term loans to commercial banks. Changes in bank rate are reflected in the prime lending rates offered by commercial banks (to their best customers), which in turn affect investments such as bank deposits, bond issues, mortgages. This term has largely been replaced by newer terms base-rate andprime rate.

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3.
bank rate: The rate of discount established by a country's central bank. (... The American Heritage )

4.
discount rate or bank rate: Interest rate charged by a central bank for loans of reserve funds to commercial banks and other financial intermediaries. The discount rate is one important indicator of the condition of monetary policy in an economy. Because raising or lowering the discount rate alters the rates that commercial banks charge on loans, adjustment of the discount rate is used as a tool to combat recession andinflation.

For more information on discount rate, visit Britannica.com. Britannica Concise Encyclopedia. Copyright © 1994-2008 Encyclopædia Britannica, Inc.

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