KH Bank Base Rate for Lending
Bank Base Rate for Lending
KH Bank Base Rate is a variable interest rate linked to the respective central bank reference rate, as shown below.
| AER1/Gross2 | Central Bank Reference Rate | |
|---|---|---|
| GBP | 4.75% | Bank of England Base Rate |
| USD | 4.75% | Federal Funds Target Rate Upper Bound |
| EUR | 3.00% | European Central Bank Deposit Facility Rate |
| ZAR | 9.00% | South African Reserve Bank Repo Rate + 1.25% |
| CHF | 0.50% | Swiss National Bank Policy Rate |
Explanatory Notes
1 AER: is a notional rate which illustrates the contractual interest rate (excluding any conditional bonus payable) as if paid and compounded on an annual basis
2 Gross Rate: is the contractual rate of interest payable before the deduction of income tax at the rate specified by law (the ‘specified rate’);
Changes in the Bank of England base rate will apply from the business day following the central bank announcement. Changes in the European Central Bank reference rate will apply on the effective date of the change announced by the European Central Bank. For all other currencies, the change will take affect 3 business days after the announcement from the respective central bank.