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nominal interest rate
(redirected from Nominal Rate of Interest)

    Also found in: Financial, Wikipedia 0.01 sec.
nominal interest rate
the real rate of interest plus the anticipated rate of price inflation.
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Real interest rates are calculated by taking the nominal rate of interest (what is actually paid) and subtracting inflation.
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The real rate of bank deposits has also turned negative since inflation has been higher than the current nominal rate of interest for four consecutive months.
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