Interest Rate (Federal Funds): United States
Current Value (2025)
4.2%
All-Time Peak (1981)
16.4%
All-Time Low (2021)
0.1%
Interest Rate (Federal Funds) — United States
Analysis# US Federal Funds Rate Analysis
The Federal Funds Rate has declined from its 16.38% peak in June 1981—when the Fed aggressively combated double-digit inflation under Paul Volcker—to 4.21% in 2025, reflecting the post-pandemic normalization of monetary policy after the emergency near-zero rates (0.08%) maintained through 2021. The current rate of 4.21% sits in the Fed's neutral zone, balancing inflation control with economic growth, representing a middle ground between the historically elevated rates of the early 1980s and the pandemic-era stimulus. Over the 70-year span, the data reveals the Fed's reactive pos
Historical Data
| Year | Value | Change % |
|---|---|---|
| 2025 | 4.2% | -18.09% |
| 2024 | 5.1% | +2.39% |
| 2023 | 5.0% | +198.81% |
| 2022 | 1.7% | +2000.00% |
| 2021 | 0.1% | -78.95% |
| 2020 | 0.4% | -82.41% |
| 2019 | 2.2% | +18.03% |
| 2018 | 1.8% | +83.00% |
| 2017 | 1.0% | +150.00% |
| 2016 | 0.4% | +207.69% |
| 2015 | 0.1% | +44.44% |
| 2014 | 0.1% | -18.18% |
| 2013 | 0.1% | -21.43% |
| 2012 | 0.1% | +40.00% |
| 2011 | 0.1% | -44.44% |
| 2010 | 0.2% | +12.50% |
| 2009 | 0.2% | -91.71% |
| 2008 | 1.9% | -61.55% |
| 2007 | 5.0% | +1.21% |
| 2006 | 5.0% | +54.52% |
Show all 71 rows
| Year | Value | Change % |
|---|---|---|
| 2005 | 3.2% | +137.78% |
| 2004 | 1.4% | +19.47% |
| 2003 | 1.1% | -32.34% |
| 2002 | 1.7% | -57.07% |
| 2001 | 3.9% | -37.66% |
| 2000 | 6.2% | +25.55% |
| 1999 | 5.0% | -7.10% |
| 1998 | 5.3% | -2.01% |
| 1997 | 5.5% | +3.02% |
| 1996 | 5.3% | -9.25% |
| 1995 | 5.8% | +39.05% |
| 1994 | 4.2% | +39.07% |
| 1993 | 3.0% | -14.20% |
| 1992 | 3.5% | -38.14% |
| 1991 | 5.7% | -29.75% |
| 1990 | 8.1% | -12.15% |
| 1989 | 9.2% | +21.80% |
| 1988 | 7.6% | +13.66% |
| 1987 | 6.7% | -2.20% |
| 1986 | 6.8% | -15.93% |
| 1985 | 8.1% | -20.82% |
| 1984 | 10.2% | +12.54% |
| 1983 | 9.1% | -25.86% |
| 1982 | 12.3% | -25.15% |
| 1981 | 16.4% | +22.60% |
| 1980 | 13.4% | +19.39% |
| 1979 | 11.2% | +41.11% |
| 1978 | 7.9% | +43.14% |
| 1977 | 5.5% | +9.70% |
| 1976 | 5.0% | -13.23% |
| 1975 | 5.8% | -44.57% |
| 1974 | 10.5% | +20.27% |
| 1973 | 8.7% | +97.07% |
| 1972 | 4.4% | -4.94% |
| 1971 | 4.7% | -35.10% |
| 1970 | 7.2% | -12.44% |
| 1969 | 8.2% | +44.88% |
| 1968 | 5.7% | +34.12% |
| 1967 | 4.2% | -17.42% |
| 1966 | 5.1% | +25.25% |
| 1965 | 4.1% | +16.57% |
| 1964 | 3.5% | +10.06% |
| 1963 | 3.2% | +17.34% |
| 1962 | 2.7% | +38.27% |
| 1961 | 2.0% | -39.13% |
| 1960 | 3.2% | -2.72% |
| 1959 | 3.3% | +110.83% |
| 1958 | 1.6% | -49.52% |
| 1957 | 3.1% | +13.92% |
| 1956 | 2.7% | +52.51% |
| 1955 | 1.8% | — |