Editing Libor (section)

==Definition==
Libor was defined as:

{{blockquote|''The rate at which an individual Contributor Panel bank could borrow funds, were it to do so by asking for and then accepting inter-bank offers in reasonable market size, just prior to 11.00 London time.''}}

This definition was amplified as follows:
* The rate that each bank submits must be formed from that bank's perception of its cost of funds in the inter-bank market.
* Contributions must represent rates formed in London and not elsewhere.
* Contributions must be for the currency concerned, not the cost of producing one currency by borrowing in another currency and accessing the required currency via the foreign exchange markets.
* The rates must be submitted by members of staff at a bank with primary responsibility for management of a bank's cash, rather than a bank's derivative book.
* The definition of "funds" is: unsecured inter-bank cash or cash raised through primary issuance of inter-bank certificates of deposit.

The British Bankers' Association published a basic guide to the BBA Libor, which contains a great deal of detail as to its history and its current calculation.<ref>{{Cite web|url=http://www.bbalibor.com/bbalibor-explained/the-basics|title=Welcome to bbalibor: The Basics|publisher=The British Bankers' Association|archive-url=https://web.archive.org/web/20101013074550/http://www.bbalibor.com/bbalibor-explained/the-basics|archive-date=13 October 2010|url-status=live}}</ref>