The Interest Rate on Reserve Balances (IORB) is a monetary policy tool used by the Federal Reserve.
It represents the interest rate paid by the Federal Reserve on balances held by eligible institutions in master accounts.
This rate is set by the Board of Governors of the Federal Reserve System.
As of May 12, 2025, the IORB rate is 4.40%.
Background
The IORB replaced the interest rate on excess reserves (IOER) and the interest rate on required reserves (IORR) from July 29, 2021.
This simplification into a single rate was announced by the Federal Reserve.
Importance
The IORB is an important tool for monetary policy, influencing the economy by managing interest rates.
Data Details
Units: Percent, Not Seasonally Adjusted
Frequency: Daily, 7-Day
Source: Board of Governors of the Federal Reserve System via FRED (Federal Reserve Economic Data)
Additional Information
Various economic research resources are available from the Federal Reserve Bank of St. Louis, including working papers, publications, and economist information.
Users can customize visual data representation via FRED tools like Excel Add-ins, API, and mobile apps.
Related Rates
Effective Federal Funds Rate: Another critical rate influencing U.S. monetary policy.
Secured Overnight Financing Rate (SOFR): An alternative benchmark rate.
Overnight Reverse Repurchase Agreements Award Rate: Treasury securities sold in the temporary open market operations.
Tools and Resources
FRED provides tools such as data visualizations, custom graph linking, and data series addition.
Users can create custom formulas to analyze and transform data series using operators and constants.
FRED offers a variety of ways to customize and share data graphs.
Further Reading
Policy Tools and IORB FAQs for more insights into the IORB rate and its applications.
Citation
Suggested Citation: Board of Governors of the Federal Reserve System (US), Interest Rate on Reserve Balances (IORB Rate) [IORB], retrieved from FRED, Federal Reserve Bank of St. Louis.