In a cross-currency swap, the parties commit to periodically pay to the other party the interest calculated at a floating rate or a fixed rate by the same currency (VND or foreign currency), based on the same nominal principal amount. The parties do not exchange the principal amounts.
Customer needs:
- Control of fluctuation risks in foreign exchange rate and interest rate, especially in mid-term and long-term;
- Effective management of cash flows of currencies;
- Reduced the capital cost or opportunity cost based on good evaluation of market trends.
Our solutions:
Cross currency swap (CCS):
- Switching principal amounts at the start (optional) and principal amounts at the end (obligatory);
- Reduced original principal amount at maturity, suitable with principal cash flow;
- Swapping interest rates from floating-floating, fixing - fixing and fixing - floating.
