| 释义 |
floating debt
floating debt n (Economics) short-term government borrowing, esp by the issue of three-month Treasury bills floating debt
Floating debtShort-term debt that is renewed and refinanced constantly to fund capital needs of a firm or institution.Floating DebtShort-term debt that a company refinances continuously. A company may utilize floating debt instead of long-term debt because short-term loans have lower interest rates. Also, if interest rates fall, the company will be able to refinance at a lower rate to reduce its expenses. The risk of floating debt is the possibility that interest rates will rise, increasing the company's expenses.floating debt Short-term debt that is subject to continual refunding by the issuer. |