Definition

Foreign Exchange Forwards is a sale / purchase transaction to buy or sell foreign currency at a predetermined price and also a delivery term over 2 working days

Forward Transactions Mechanism

  1. Client Conducting a Forward Transaction on a deal date with a more than two working days tenor at the exchange rate made on the deal date.
  2.  The Client undertakes Hedging by agreeing on the exchange rate specified at the time the deal date..
  3.  The Client hands over the funds on the settlement date at the specified exchange rate at the deal date
  4.  For foreign exchange transactions against Rupiah requires underlying in accordance with prevailing PBI

Advantages

  • Provide future certainty currency values ​​making it easier to manage corporate cash-flows.
  •  The contract may be arranged to buy or sell foreign currency against your domestic currency or against other foreign currencies.
  •  Available for any purpose such as trade, investment or other commitments at this time.