Bloomberg has opened an Overnight Index Swaps market in Indonesia by creating a fixing and valuation platform for the market.
Fifteen banks are participating in the Bloomberg Indonesian Overnight Index Swaps fixing, each contributing daily rates. The Bloomberg Indonesian Overnight Index Swaps function is accessible on the Bloomberg terminal at SWPM (GO).
“Bloomberg is extremely proud to have helped Indonesia to develop this brand new market,” says Alex Bruce at Bloomberg. “The Bloomberg Indonesian Overnight Index Swaps platform underlines Bloomberg’s vision, capability and commitment to helping the Asia-Pacific capital markets grow.”
Also in the Asia-Pacific region, The Monetary Authority of Singapore recently chose Bloomberg as the sole inter-dealer trading platform for the Singapore Government Bond.
vernight Index Swaps are a tool for companies, banks and other financial institutions to hedge against short-term interest rate risk and fluctuations.
The first transaction on the Bloomberg Indonesian Overnight Index Swaps platform took place on 7 December with Deutsche Bank Jakarta swapping obligations between the overnight fixing of Indonesian Rupiah with the counter-party HSBC Jakarta.