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Geithner asked King to reform Libor in 2008

Geithner asked King to reform Libor in 2008
US Treasury Secretary Timothy Geithner asked Sir Mervyn King to reform the Libor market in 2008, new documents have revealed.

A June 2008 memo published by the Bank of England on Friday shows Mr Geithner, then President of the Federal Reserve Bank of New York, recommended to the Governor six changes that would improve the integrity of rate setting.

The Bank of England has said the recommendations were endorsed by Sir Mervyn to the British Bankers' Association, which launched a review into Libor that month.

"Both the Bank and the Federal Reserve were assured by the BBA that it would take on board the recommendations, either through actions or through questions on which it would consult," the Bank said.

Green Box: Geithner asked King to reform Libor in 2008Click to open

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