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Basis points to percent

A basis point is one hundredth of a percentage point: 1 bp = 0.01%, 25 bp = 0.25%, 100 bp = 1%. Central banks move rates in basis points, most often 25 at a time.

Converter
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25 bp is 0.25 percentage points: a quarter point.

Basis points and the percent they are
Basis pointsPercentAs a decimalSaid as
1 bp 0.01% 0.0001 one bip
5 bp 0.05% 0.0005 —
10 bp 0.10% 0.0010 —
25 bp 0.25% 0.0025 a quarter point
50 bp 0.50% 0.0050 a half point
75 bp 0.75% 0.0075 three quarters of a point
100 bp 1.00% 0.0100 a full point
150 bp 1.50% 0.0150 —
200 bp 2.00% 0.0200 —
500 bp 5.00% 0.0500 —

Why basis points and not percent

Percent is ambiguous when the thing measured is itself a percentage. If a rate goes from 2% to 3%, it rose one percentage point, or 50% of its level. Saying it rose 100 basis points leaves no doubt, which is why central banks, bond traders and this site count moves in basis points.

Every central bank's latest move, in basis points

Central bankLatest moveOnToBiggest move since 2008
Federal Reserve +25 bp Sep 16, 2026 3.75%–4.00% −100 bp, Mar 15, 2020
European Central Bank +25 bp Sep 10, 2026 2.50% −75 bp, Dec 4, 2008
Bank of England −25 bp Dec 18, 2025 3.75% −150 bp, Nov 6, 2008
Bank of Japan +25 bp Sep 18, 2026 1.25% +25 bp, Jan 24, 2025
Bank of Canada +25 bp Oct 28, 2026 2.50% +100 bp, Jul 13, 2022
Reserve Bank of Australia +25 bp Sep 29, 2026 4.60% −100 bp, Oct 7, 2008
Reserve Bank of New Zealand +25 bp Sep 2, 2026 2.75% −150 bp, Dec 4, 2008
Swiss National Bank −25 bp Jun 19, 2025 0.00% −150 bp, Dec 11, 2008

A move of 25 bp is the normal step. Banks move 50 bp ("a jumbo") or more when they are in a hurry, and in a crisis they have cut by a full point or more between meetings. Where each rate stands now is on central bank rates today.

Pips are not basis points

On a currency chart the unit is the pip, the fourth decimal of most pairs (0.0001) and the second of yen pairs (0.01). This site measures what price did after each decision in pips and the decision itself in basis points. A 25 bp cut can move EUR/USD 10 pips or 100: what it moves depends on what was expected, as how interest rates affect exchange rates shows.

Questions

How many basis points are in 1%?

100. One basis point is 0.01 percentage points, so 1% is 100 bp and 0.25% is 25 bp.

What does 25 basis points mean?

A quarter of a percentage point. When a central bank "cuts by 25 basis points", a rate of 4.00% becomes 3.75%. It is the usual size of a move, often called a quarter point.

What is the difference between basis points and percent?

A change in percent can be read two ways: a rate going from 2% to 3% rose one percentage point, or 50% of its level. Basis points remove the doubt: it rose 100 bp.

How do you write and say basis points?

Written bp or bps (one bp, 25 bp); said "basis points" or, among traders, "bips".

How do you convert basis points to percent?

Divide by 100: 75 bp is 0.75%. To go the other way, multiply percentage points by 100: 1.5 percentage points is 150 bp.

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