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Historical Changes of the Target Federal Funds and Discount Rates
1971 to present
 
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date
Discount Rate
Federal Funds Rate
 
change
New Level*
Change
New Level
Primary1
Secondary2
 
2008
 
 
Oct 29
-.50
1.25
1.75
-.50 
1.00 
 
 
Oct 8
-.50
1.75
2.25
-.50 
1.50 
 
 
Apr 30
-.25
2.25
2.75
-.25 
2.00 
 
 
Mar 18
-.75
2.50
3.00
-.75 
2.25 
 
 
Mar 16
-.25
3.25
3.75
 
 
 
 
Jan 30
-.50
3.50
4.00
-.50 
3.00 
 
 
Jan 22
-.75
4.00
4.50
-.75 
3.50 
 
 
2007
 
 
Dec 11
-.25
4.75
5.25
-.25 
4.25 
 
 
Oct 31
-.25
5.00
5.50
-.25 
4.50 
 
 
Sep 18
-.50
5.25
5.75
-.50 
4.75 
 
 
Aug 17
-.50
5.75
6.25
 
 
 
 
2006
 
 
Jun 29
+.25
6.25
6.75
+.25
5.25
 
 
May 10
+.25
6.00
6.50
+.25
5.00
 
 
Mar 28
+.25
5.75
6.25
+.25
4.75
 
 
Jan 31
+.25
5.50
6.00
+.25
4.50
 
 
2005
 
 
Dec 13
+.25
5.25
5.75
+.25
4.25
 
 
Nov 1
+.25
5.00
5.50
+.25
4.00
 
 
Sep 20
+.25
4.75
5.25
+.25
3.75
 
 
Aug 9
+.25
4.50
5.00
+.25
3.50
 
 
Jun 30
+.25
4.25
4.75
+.25
3.25
 
 
May 3
+.25
4.00
4.50
+.25
3.00
 
 
Mar 22
+.25
3.75
4.25
+.25
2.75
 
 
Feb 2
+.25
3.50
4.00
+.25
2.50
 
 
2004
 
 
Dec 14
+.25
3.25
3.75
+.25
2.25
 
 
Nov 10
+.25
3.00
3.50
+.25
2.00
 
 
Sep 21
+.25
2.75
3.25
+.25
1.75
 
 
Aug 10
+.25
2.50
3.00
+.25
1.50
 
 
Jun 30
+.25
2.25
2.75
+.25
1.25
 
 
2003
 
 
Jun 25
-.25
2.00
2.50
-.25
1.00
 
 
Jan 09
2.25
2.75
 
 
*On Jan 9, 2003, this file began to track the primary and secondary credit rate.
 
 
date
Discount Rate
Federal Funds Rate
 
change
New Level
Change
New Level/
Range
 
2002
 
 
Nov 6
-1/2
3/4
-1/2
1 1/4
 
 
2001
 
 
Dec 11
-1/4
1 1/4
-1/4
1 3/4
 
 
Nov 6
-1/2
1 1/2
-1/2
2
 
 
Oct 2
-1/2
2
-1/2
2 1/2
 
 
Sep 17
-1/2
2 1/2
-1/2
3
 
 
Aug 21
-1/4
3
-1/4
3 1/2
 
 
Jun 27
-1/4
3 1/4
-1/4
3 3/4
 
 
May 15
-1/2
3 1/2
-1/2
4
 
 
Apr 18
-1/2
4
-1/2
4 1/2
 
 
Mar 20
-1/2
4 1/2
-1/2
5
 
 
Jan 31
-1/2
5
-1/2
5 1/2
 
 
Jan 4
-1/4
5 1/2
 
 
Jan 3
-1/4
5 3/4
-1/2
6
 
 
2000
 
 
May 19
+1/2
6
 
 
May 16
+1/2
6 1/2
 
Mar 21
+1/4
5 1/2
+1/4
6
 
 
Feb 2
+1/4
5 1/4
+1/4
5 3/4
 
 
1999
 
 
 
 
Nov 16
+1/4
5
+1/4
5 1/2
 
 
Aug 24
+1/4
4 3/4
+1/4
5 1/4
 
 
Jun 30
+1/4
5
 
 
1998
 
 
 
 
Nov 17
-1/4
4 1/2
-1/4
4 3/4
 
 
Oct 15
-1/4
4 3/4
-1/4
5
 
 
Sep 29
-1/4
5 1/4
 
 
1997
 
 
Mar 25
+1/4
5 1/2
 
 
1996
 
 
Jan 31
-1/4
5
-1/4
5 1/4
 
 
1995
 
 
Dec 19
-1/4
5 1/2
 
 
Jul 6
-1/4
5 3/4
 
 
Feb 1
+1/2
5 1/4
+1/2
6
 
 
1994
 
 
Nov 15
+3/4
4 3/4
+3/4
5 1/2
 
 
Aug 16
+1/2
4
+1/2
4 3/4
 
 
May 17
+1/2
3
+1/2
4 1/4
 
 
Apr 18
+1/4
3 3/4
 
 
Mar 22
+1/4
3 1/2
 
 
Feb 4
+1/4
3 1/4
 
 
1993
 
 
No changes
 
 
 
 
1992
 
 
Sep 4
 
 
-1/4
3
 
 
Jul 2
-1/2
3
-1/2
3 1/4
 
 
Apr 9
 
 
-1/4
3 3/4
 
 
1991
 
 
Dec 20
-1
3 1/2
-1/2
4
 
 
Dec 6
-1/2
6
-1/4
4 1/2
 
 
Nov 6
-1/2
4 1/2
-1/4
4 3/4
 
 
Oct 31
-1/4
5
 
 
Sep 13
-1/2
5
-1/4
5 1/4
 
 
Aug 6
-1/4
5 1/2
 
 
Apr 30
-1/2
5 1/2
-1/4
5 3/4
 
 
Mar 8
-1/4
6
 
 
Feb 1
-1/2
6
-1/2
6 1/4
 
 
Jan 9
-1/4
6 3/4
 
 
1990
 
 
Dec 18
 
 
-1/4
7
 
 
Dec 18-19
-1/2
6 1/2
 
 
Dec 7
 
 
-1/4
7 1/4
 
 
Nov 13
 
 
-1/4
7 1/2
 
 
Oct 29
-1/4
7 3/4
 
 
Jul 13
 
 
-1/4
8
 
 
1989
 
 
early Jul to mid Dec
 
 
gradual decrease
8 1/4
 
 
early Jun
 
 
-1/4 to 1/8
9 1/2 to 9 5/8
 
 
Feb 24
+1/2
7
+1/4 to 1/8
9 3/4
 
 
Feb 23
 
 
+1/4
9 1/2 to 9 5/8
 
 
early Jan to early Feb
 
 
gradual increase
9 1/4 to 9 3/8
 
 
1988
 
 
early Dec
 
 
+1/4 to 3/8
8 5/8 to 9 3/4
 
 
mid Nov
 
 
+3/8 to 1/8
8 3/8
 
 
Aug 9
+1/2
6 1/2
+1/4 to 1/2
8 to 8 1/4
 
 
Aug 5
 
 
+1/8 to 0
7 3/4
 
 
mid Jul
+1/8 to 1/4
7 5/8 to 7 3/4
 
 
late Mar to late Jun
 
 
gradual increase
7 1/2
 
 
late Jan to early Feb
 
 
gradual decrease
6 1/2
 
 
1987
 
 
in the weeks after Oct 19
 
 
-1/2 to 3/8
6 3/4 to 6 7/8
 
 
Sep 4
+1/2
6
+1/2 to 1/4
7 1/4
 
 
Sep 3
+0 to 1/4
6 3/4 to 7
 
 
late Apr to mid May
 
 
gradual increase
6 3/4
 
 
1986
 
 
late Dec
+1/8
6
 
 
Aug 21
-3/8 to 1/2
5 7/8
 
 
Aug 20-21
-1/2
5 1/2
 
 
mid Aug
 
 
-1/8 to 0
6 1/4 to 6 3/8
 
 
Jul 11
-1/2
6 3/8
 
 
Jul 10-11
-1/2
6
 
 
mid Jun
 
 
+1/8 to 0
6 7/8
 
 
late May
+0 to 1/8
6 3/4 to 6 7/8
 
 
Apr 18-21
-1/2
6 1/2
-1/2
6 3/4
 
 
Mar 7
-1/2
7
-1/2
7 1/4
 
 
1985
 
 
Dec 18
 
 
-1/4
7 3/4
 
 
Sep 6
 
 
+1/4 to 0
8
 
 
late Jul to late Aug
 
 
gradual increase
7 3/4 to 8
 
 
mid Jul
-1/8 to 0
7 5/8 to 7 3/4
 
 
May 20
 
 
-1/2
7 3/4
 
 
May 17-20
-1/2
7 1/2
 
 
mid Apr
 
 
-1/4
8 1/4
 
 
late Mar to early Apr
 
 
gradual decrease
8 1/2
 
 
mid Feb to mid Mar
 
 
gradual increase
9
 
 
1984
 
 
Dec 21-24
-1/2
8
-1/2
8 1/4
 
 
early Dec
 
 
-1/4
8 3/4
 
 
Nov 22
-1/2
9
 
 
Nov 21
-1/2
8 1/2
 
 
early Nov
 
 
-1/2
9 1/2
 
 
early Sep to mid Oct
 
 
gradual decrease
10
 
 
late Jul to late Aug
 
 
gradual increase
11 1/2 to 11 3/4
 
 
late Jun
+1/2
11
 
 
Apr 6-9
+1/2
9
+1/2 to 0
10 1/2
 
 
Mar 29
 
 
+1/4 to 1/2
10 to 10 1/2
 
 
early to late Mar
gradual increase
9 3/4 to 10
 
 
1983
 
 
late Aug to early Oct
 
 
gradual decrease
9 1/4 to 9 1/2
 
 
late May to mid Aug
gradual increase
9 1/2 to 9 5/8
 
 
1982
 
 
Dec 13-15
-1/2
8 1/2
-1/2
8 1/2
 
 
Nov 22
 
 
-1/2
9
 
 
Nov 19-22
-1/2
9
 
 
Oct 12
 
 
-1/2
9 1/2
 
 
Oct 8-12
-1/2
9 1/2
 
 
early Sep
 
 
+1/2
10
 
 
Aug 27
-1/2 to 1
9 1/2
 
 
Aug 26-27
-1/2
10
 
 
Aug 16
-1
10 to 10 1/2
 
 
Aug 13-16
-1/2
10 1/2
 
 
Aug 2
 
 
-1/2
11 to 11 1/2
 
 
Jul 30 to Aug 2
-1/2
11
 
 
Jul 20
 
 
-1
11 1/2 to 12
 
 
Jul 19-20
-1/2
11 1/2
 
 
mid Apr to mid Jul
 
 
gradual decrease
13
 
 
early Jan to mid Apr
gradual increase
15
 
 
1981
 
 
Dec 4
 
 
-1
12
 
 
Dec 3-4
-1
12
 
 
mid to late Nov
gradual decrease
13
 
 
Nov 2
 
 
-1 1/2
13 to 14
 
 
Oct 30 to Nov 2
-1
13
 
 
mid Jun to mid Oct
 
 
gradual decrease
18 to 20
 
 
late May
gradual increase
20
 
 
May 8
 
 
raised to
18 to 20
 
 
May 4-5
+1
14
 
 
late Jan to mid Apr
gradual decrease
16
 
 
early to mid Jan
 
 
raised towards
19 to 20
 
 
1980
 
 
Dec 29
 
 
-2
17 to 18
 
 
Dec
+2
19 to 20
 
 
Dec 4-5
+1
13
 
 
Nov 26
 
 
+2 to 3
17 to 18
 
 
Nov 14-17
+1
12
 
 
Nov 7
+1 1/2 to 1 1/4
15
 
 
mid Oct to early Nov
 
 
gradual increase
13 1/2 to 13 3/4
 
 
early Oct
+1/4 to 0
12
 
 
Sep 25-26
+1
11
+3/4 to 1
11 3/4 to 12
 
 
mid Sep
 
 
+1
11
 
 
Aug 7
 
 
+1 1/2 to 1/2
10
 
 
Jul 25-28
-1
10
 
 
Jun 12-13
-1
11
 
 
Jun 5
 
 
-1 to 1 1/4
8 1/2 to 9 1/2
 
 
May 28-30
-1
12
 
 
May 22
-1 to 3/4
9 1/2 to 3/4
 
 
Apr to mid May
 
 
gradual decrease
10 to 1/2 to 11 1/2
 
 
late Feb to late Mar
gradual decrease
20
 
 
Feb 15
+1
13
+1/2 to 1
14 1/2 to 15
 
 
early to late Jan
 
 
gradual increase
14
 
 
1979
 
 
Nov to Dec
 
 
gradual decrease
12 to 14
 
 
late Oct
+2 1/2
15 1/2
 
 
Oct 8
 
 
+1 1/2
13
 
 
Oct6-8
+1
12
 
 
Sep 19
+1/8
11/12
 
 
Sep 18-19
+1/2
11
 
 
Aug 31
 
 
+1/8
11 3/8
 
 
late Aug
+1/4
11/14
 
 
Aug 16-17
+1/2
10 1/2
 
 
Aug 15
+3/8
11
 
 
Jul 27
 
 
+1/8
10 5/8
 
 
Jul 20
+1/2
10
+1/4
10 1/2
 
 
late Apr
 
 
+1/4
10 1/4
 
 
1978
 
 
Dec 20
+1/8
10
 
 
mid Nov
 
 
+3/8 to 1/8
9 7/8
 
 
Nov 1
+1
9 1/2
 
 
days prior to May 1
 
 
+1/2 to 3/4
9 1/2 to 9 3/4
 
 
Oct 18
 
 
+1/4
9
 
 
Oct 13-16
+1/2
8 1/2
 
 
Sep 29
 
 
+1/8
8 3/4
 
 
Sep 22
+1/4
8
+1/8
8 5/8
 
 
Sep 20
+1/8
8 1/2
 
 
Sep
 
 
+1/8
8 3/8
 
 
Aug 25
 
 
+1/4 to 1/8
8 1/4
 
 
Aug 18-21
+1/2
7 3/4
+0 to 1/8
8 to 8 1/8
 
 
Aug 16
 
 
+1/8
8
 
 
Jul 19
 
 
+1/8
7 7/8
 
 
Jun 30 to Jul 3
+1/4
7 1/4
 
 
Jun 21
+1/4
7 3/4
 
 
May 17
 
 
+1/4
7 1/2
 
 
May 11
+1/2
7
 
 
Apr 27
 
 
+1/2
7 1/4
 
 
Apr 26
 
 
+1/8
7 1/8
 
 
Apr 19
+1/4
7
 
 
Jan 9
 
 
+1/4
6 3/4
 
 
Jan 6-9
+1/2
6 1/2
 
 
1977
 
 
Oct 25-26
+1/4
6
 
 
mid Oct
+1/4
6 1/2
 
 
Sep 20
 
 
+1/8
6 1/4
 
 
mid Sep
 
+1/8
6 1/8
 
 
Aug 29-31
+1/2 
5 3/4
 
 
mid Aug
+1/8
6
 
 
1976
 
 
early Dec to early Aug '77
 
 
gradual increase
5 7/8
 
 
Nov 26
-1/8
4 3/4
 
 
Nov 19-22
-1/4
5 1/4
-1/8
4 7/8
 
 
mid Oct
 
 
-1/8
5
 
 
Jul to early Oct
 
 
gradual decrease
5 1/8
 
 
May
 
 
gradual increase
5 1/2
 
 
Apr 21
+1/8
4 7/8
 
 
Jan 16-19
-1/2
5 1/2
 
 
Jan 12
 
 
-1/8
4 3/4
 
 
1975
 
 
Oct to early Jan '76
gradual decrease
4 7/8
 
 
mid Jun to mid Sep
 
 
gradual increase
6 1/4 to 6 1/2
 
 
early Jun
 
 
+1/4 to 0
5 1/4
 
 
May 15-16
-1/4
6
 
 
early May
-1/4 to 0
5 to 5 1/4
 
 
late Apr
 
 
-1/4
5 1/4
 
 
May 21
 
 
-1/4
5 1/2
 
 
Mar 7-10
-1/2
6 1/4
-1/4
5 3/4
 
 
late Feb
 
 
-1/4
6
 
 
Feb
 
 
-1/4
6 1/4
 
 
Feb 4-5
-1/2
6 3/4
 
 
days prior to Feb 4
-1/4 to 1/2
6 1/2
 
 
mid Jan
 
 
gradual decrease
6 3/4 to 7
 
 
Jan 10
 
 
-1/4
7 1/4
 
 
Jan 3-10
-1/2
7 1/4
-1/2
7 1/2
 
 
1974
 
 
late Dec
 
 
-1/4
8
 
 
mid to late Dec
 
 
gradual decrease
8 1/4
 
 
Dec 9
-1/4 to 0
8 3/4 to 9
 
 
Dec 6-9
-1/4
7 3/4
-0 to 1/4
9
 
 
late Nov
 
 
-1/4 to 0
9 to 9 1/4
 
 
late Jul to late Nov
 
 
gradual decrease
9 1/4
 
 
late May to mid Jul
 
 
gradual increase
13
 
 
Apr 25
+1/2 to 1/4
11
 
 
Apr 24-25
+1/2
8
 
 
days prior to Apr 24
 
 
+1/2 to 3/4
10 1/2 to 10 3/4
 
 
Mar to mid Apr
 
 
gradual increase
10
 
 
1973
 
 
Sep to Feb '74
 
 
gradual decrease
9
 
 
late Aug
+1/2
11
 
 
Aug 13-14
+1/2
7 1/2
 
 
late Jul
 
 
+1/2 to 1/4
10 1/2
 
 
mid Jul
 
 
gradual increase
10 to 10 1/4
 
 
Jul 6
+1/4
9 1/2
 
 
Jun 29 to Jul 2
+1/2
7
+3/4
9 1/4
 
 
jUN 8-11
+1/2
6 1/2
+1/4
8 1/2
 
 
late May
 
 
+3/8
8 1/4
 
 
May 18
+3/8
7 7/8
 
 
May 10-11
+1/4
6
+1/4 to 0
7 1/2
 
 
May 4
+0 to 1/4
7 1/4 to 7 1/2
 
 
Apr 20 to May 4
+1/4
5 3/4
+1/4
7 1/4
 
 
late Mar
 
 
+1/4 to 0
7
 
 
mid Mar
+0 to 1/4
6 3/4 to 7
 
 
early Mar
+1/8 to 0
6 3/4
 
 
Feb 22-23
+1/2
5 1/2
+1/8 to 1/4
6 5/8 to 6 3/4
 
 
mid Feb
 
 
+1/8
6 1/2
 
 
late Jan
 
 
gradual increase
6 3/8
 
 
Jan 19
+1/4 to 1/8
6
 
 
Jan 12-15
+1/2
5
+0 to 1/8
5 3/4 to 5 7/8
 
 
early Jan
 
 
+1/4 to 0
5 3/4
 
 
1972
 
 
Mar to late Dec
 
 
gradual increase
5 1/2 to 5 3/4
 
 
1971
 
 
days prior to Nov 10
-0 to 1/8
5
 
 
Sep to Oct
 
 
gradual decrease
5 to 5 1/8
 
 
mid Aug
 
 
+1/2 to 1/4
5 1/2 to 5 3/4
 
 
Jul 15-16
+1/4
5
+0 to 1/4
5 to 5 1/2
 
 
early Jul
 
 
-0 to 1/4
5 to 5 1/4
 
 
Mar to early Jul
 
 
gradual increase
5 to 5 1/2
 
 
Feb 19
-1/4
3 1/2
 
 
Feb 12-19
-1/4
4 3/4
 
 
early Feb
 
 
-1/4
3 3/4
 
 
late Jan
 
 
-1/4
4
 
 
Jan 18-22
-1/4
5
 
 
Jan 12
 
 
-1/4
4 1/4
 
 
Jan 8
 
 
-1/4
4 1/2
 
 
Jan 7
-1/4
5 1/4
 
 
Top
UPDATED 10/29/08
 
1 Primary credit is available to generally sound depository institutions on a very short-term basis, typically overnight, at a rate above the Federal Open Market Committee’s target rate for federal funds. Depository institutions are not required to seek alternative sources of funds before requesting occasional short-term advances of primary credit. The Federal Reserve expects that, given the above-market pricing of primary credit, institutions will use the discount window as a backup rather than a regular source of funding.

Primary credit may be used for any purpose including financing the sale of federal funds. By making funds readily available at the primary credit rate when there is a temporary shortage of liquidity in the banking system, thus capping the actual federal funds rate at or close to the primary credit rate, the primary credit program complements open market operations in the implementation of monetary policy.

Primary credit may be extended for up to a few weeks to depository institutions in sound financial condition that cannot obtain temporary funds in the market at reasonable terms; normally, these are small institutions. Longer-term extensions are subject to increased administration.

 
2 Secondary credit is available to depository institutions not eligible for primary credit. It is extended on a very short-term basis, typically overnight, at a rate that is above the primary credit rate. Secondary credit is available to meet backup liquidity needs when its use is consistent with a timely return to a reliance on market sources of funding or the orderly resolution of a troubled institution. Secondary credit may not be used to fund an expansion of the borrower’s assets. The secondary credit program entails a higher level of Reserve Bank administration and oversight than the primary credit program; a Reserve Bank obtains sufficient information about a borrower’s financial condition and reasons for borrowing to ensure that an extension of secondary credit is consistent with the purpose of the facility.
 
All data are based on available records, but this Bank does not guarantee their accuracy.
 
Top