ESTER is a reliable and robust rate and it reflects financing conditions in money markets better than secured rates, which could be influenced by regulatory and collateral factors unrelated to bank borrowing. While ESTER represents an alternative benchmark for the short-term segment of the money market, progress towards the development of alternatives for longer tenors is yet to be seen.
Although longer-tenor instruments are not turned over as frequently as overnight ones, they are economically relevant as they represent a significant share of outstanding amounts. You can see this on my next slide.