Across the world, banks are engaging with the complex issue of the phasing out of the LIBOR. In this connection, the International Swaps and Derivatives Association (ISDA) has published IBOR Fallbacks Supplement and IBOR Fallbacks Protocol. This will amend ISDA’s standard definitions for interest rate derivatives to incorporate fallbacks for derivatives linked to certain IBORs, with changes being effective from 25 January 2021. This is in line with the progressive phasing out of the LIBOR by end 2021, which concerns five currencies (USD, EUR, GBP, CHF, JPY), and 7 tenors for each currency, i.e., a total of 35 rates. Furthermore, Regulators in the UK have recommended that, from the end of March 2021, sterling LIBOR no longer be used in any new lending or other cash products that mature after the end of 2021. For more information, click here.