Currency swap


Currency swap
An agreement to swap a series of specified payment obligations denominated in one currency for a series of specified payment obligations denominated in a different currency. The New York Times Financial Glossary

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   ► See Swap.

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currency swap UK US noun [C]
BANKING, FINANCE an agreement between two organizations to change the amount of money lent or the interest payments of a loan made in one currency for the same part of a loan in another currency: »

When they borrowed dollars from the bank, they entered into a currency swap to protect the value of their loan for projects that had to be paid in pesos.


Financial and business terms. 2012.

Look at other dictionaries:

  • currency swap — An agreement under which two parties agree to exchange or swap specific amounts of two different currencies and repay over time with payments based on fixed interest rates in each currency. Practical Law Dictionary. Glossary of UK, US and… …   Law dictionary

  • Currency swap — Foreign exchange Exchange rates Currency band Exchange rate Exchange rate regime Exchange rate flexibility Dollarization Fixed exchange rate Floating exchange rate Linked exchange rate Managed float regime Markets Foreign exchange market Futures… …   Wikipedia

  • currency swap — An agreement to swap a series of specified payment obligations denominated in one currency for a series of specified payment obligations denominated in a different currency. Usually fixed for fixed. Bloomberg Financial Dictionary * * * currency… …   Financial and business terms

  • currency swap — A swap in which specified amounts of one currency are exchanged for another currency at agreed principles over time. In an ordinary currency swap both currencies bear interest at a fixed rate: if both currencies bear interest at a floating rate… …   Big dictionary of business and management

  • Currency Swap — A swap that involves the exchange of principal and interest in one currency for the same in another currency. It is considered to be a foreign exchange transaction and is not required by law to be shown on a company s balance sheet. For example,… …   Investment dictionary

  • currency swap — valiutų apsikeitimo sandoris statusas Aprobuotas sritis išvestinių finansinių priemonių rinka apibrėžtis Dviejų sandorių – šios dienos valiutų keitimo ir išankstinio valiutų keitimo – derinys, kai sandorio šalys sutaria apsikeisti valiutomis tam… …   Lithuanian dictionary (lietuvių žodynas)

  • currency swap — / kʌrənsi swɒp/ noun an agreement to use a certain currency for payments under a contract in exchange for another currency (the two companies involved can each buy one of the currencies at a more favourable rate than the other) …   Dictionary of banking and finance

  • currency swap — exchange of currencies of different countries …   English contemporary dictionary

  • Cross currency swap — A cross currency swap, also referred to as cross currency interest rate swap[1] or simply currency swap[2], is an agreement between two parties to exchange interest payments and principals denominated in two different currencies.[3] Contents …   Wikipedia

  • Dual Currency Swap — A currency swap used to hedge the risk associated with the issuance of a dual currency bond. A dual currency swap allows the bond issuer to repay the principal and coupon in the base currency or another currency. Exchange rates are preset in dual …   Investment dictionary