The effective federal funds rate is the interest rate at which depository institutions lend reserve balances to other depository institutions overnight.
The FOMC (Federal Open Market Committee) Summary of Economic Projections includes the median projections of FOMC participants for key economic variables, including the federal funds rate.
The Effective Federal Funds Rate, as of January, 2026, was 3.64%. The median expectation, according to the FOMC in their recent Summary of Economic Projections, was 3.10% by the end of December, 2028.