Financial Derivatives

ADB uses financial derivatives to raise operationally needed currencies in a cost-efficient way, usually undertaking currency and interest rate swaps simultaneously with an issue of bonds.

These transactions are fully hedged to remove currency and interest rate risk.

Effect of Swaps on Currency Composition of Borrowings (31 December 2016)

a Other currencies include the Brazilian real, yuan, Canadian dollar, lari, Hong Kong dollar, Indian rupee, yen, ringgit, Mexican peso, Norwegian krone, pound sterling, Singapore dollar, South African rand, Swiss franc, and Turkish lira.

b Other currencies include the yuan, lari, and Indian rupee.

Effect of Swaps on Interest Rate Structure of Borrowings (31 December 2016)

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