der Leitzins
Translation
key interest rate, base rate, policy rate
Examples
Die Zentralbank hat den Leitzins gesenkt.
The central bank has lowered the key interest rate.
Der Leitzins beeinflusst die Wirtschaft stark.
The key interest rate strongly influences the economy.
Grammar Patterns
der Leitzins (as subject/object) the key interest rate The central bank raised the key interest rate.
Similar Words
Synonyms: Basiszinssatz, Referenzzinssatz
Etymology
From 'leiten' (to lead, to guide) and 'der Zins' (interest). Literally a 'leading interest rate'.
Memory Tips
Think of it as the interest rate that 'leads' or guides all other interest rates in an economy.