“Efforts to sign up more banks to help set Libor are proving a tough challenge for the scandal-ridden benchmark’s new administrator.
The IntercontinentalExchange , or ICE, took over administration of the benchmark from the British Bankers Association in February 2014, with a pledge to restore Libor’s reputation after it was damaged by years of rigging.
A key part of the new process was to expand the range of banks who would submit rates, but that’s proved a tall order.
“We cannot get new banks to join the Libor panel. This is unfortunate from my perspective. But you can understand the situation of a bank chief executive who has to explain to shareholders why it should join a Libor panel given the past,” said Finbarr Hutcheson, president at ICE Benchmark Administration, speaking in London at a recent conference.”
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