Central banks push for Libor replacement

"It is clear that central banks must play an important role in supporting the development of alternative reference rates," Bank of England Governor Sir Mervyn King said in a statement.

Sir Mervyn chairs a committee of central bankers at the Bank for International Settlements, which on Monday published a report on the role central banks could play in creating a choice of rates.

Central banks can promote alternative rates such as overnight rates and overnight index swaps rates, or general collateral repo rates, the report said. These refer to contracts between banks based on expected interest rates.

Barclays, Royal Bank of Scotland and UBS have all been fined for rigging the London interbank offered rate.