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Investments glossary

Negative Interest Rate Environment Definition


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Quotes of the day:

All that glitters is not gold, and things that look warm are often cold!

— Yassine Aumerally

A negative interest rate environment exists when the nominal overnight interest rate falls below zero percent for a particular economic zone. This means that banks and other financial institutions would have to pay to keep their excess reserves stored at the central bank rather than receive positive interest income.

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