By a decision as of 16th of March 2017 the Governing Council of the Bulgarian National Bank (BNB) and in force since the 1st of July 2018 the BNB ceases to perform the activities related with the calculation and publishing of SOFIBOR and SOFIBID reference rates as the official press release of the BNB can be seen here.

In order to settle the relations with their clients who have credit agreements based on market index which is ceased or which has changed significantly the banks apply the respective provisions of the amended and supplemented Law on Credit Institutions, published in State Gazette, Issue 51 as of 19th of June 2018.

Both indices SOFIBOR (Sofia Interbank Offered Rate) and SOFIBID (Sofia Interbank Bid Rate) were calculated in accordance with an agreement between the Association of Banks in Bulgaria (ABB), ACI Bulgaria – Bulgarian Dealers Association and the Bulgarian National Bank, signed in October 2002. They were calculated for the period between 17th of February 2003 and 29th of June 2018, as after that period the calculation of both indices is ceased and the trilateral agreement was interrupted.

The SOFIBOR Reference Rate is a fixing of the quotes for unsecured BGN deposits offered in the Bulgarian interbank market and it was produced for a set of maturities at 11:00 am (local time) every business day as an average of the ask quotes provided by a representative panel of banks.

The SOFIBID Reference Rate is a fixing of the quotes for unsecured BGN deposits offered in the Bulgarian interbank market and it was produced for a set of maturities as an average of the bid quotes.

As of July 1, 2017 the LEONIA Plus (LEv OverNight Index Average Plus) reference rate replaces the LEONIA (LEONIA: LEv OverNight Index Average) reference rate as an effective overnight rate computed as a weighted average of all overnight unsecured lending transactions in the interbank market in Bulgaria and as a basis for calculating the Base Interest Rate. The new reference rate LEONIA Plus differs from LEONIA in terms of its wider coverage of data providers, including all BNB-licensed banks and branches of foreign banks in the country and not just part of them, as was the approach for the calculation of the LEONIA reference rate. In the period from December 1, 2004 to June 30, 2017 the LEONIA reference rate was produced according to a contract between ABB, ACI Bulgaria – BDA and the BNB.

The LEONIA Plus reference rate is computed and published by the BNB every business day as of July 1, 2017. The index is displayed in a format of two decimal places. The day count convention is “actual/360” days. When no overnight unsecured deposit transactions in BGN have been effected in a given business day on the interbank market, the BNB notes that there is no reference rate available for that day by publishing the indication “n/a” (Not Available).

The information about the indices for a definite date, by period and by maturity as well as the rules for the administration and calculation of SOFIBID and SOFIBOR reference rates before ceasing their calculation as well as the rules for the calculation of LEONIA Plus reference rate by the BNB can be found on the web page of the BNB.