We have to be aware that two banks left the U.S. dollar panels despite this encouragement, and that the agreement that the FCA reached with the remaining banks to continue submitting voluntarily through the end of 2021 now has just three-and-a-half years left.
And as Andrew Bailey noted last week, there is also the prospect that LIBOR could be judged to be nonrepresentative under the European Union’s Benchmark Regulations, which would severely curtail the liquidity of products referencing LIBOR. 1  See the European Investment Bank’s announcement at www.eib.org/investor_relations/press/2018/fi-2018-12EIB%20issues%20markets%20first%20SONIA%20GBP%20benchmark%20with%20GBP%201bn%205y%20issua nce.htm.