Forward Foreign Exchange Settlement RMB & Foreign Exchange Swap

Forward Foreign Exchange (FX) Settlement refers to the transaction that a customer reaches a forward agreement for purchase or sale of FX with CEXIM. Under the agreement, the currency, amount, payment term and foreign exchange rate are agreed by both parties. Then the transaction mentioned above will be processed according to the specified terms on the maturity day in future. 

RMB and FX Swap refers to the transaction that both CEXIM and the customer agree on the spot rate, forward rate and respective value dates. The customer shall conduct the conversion between RMB and foreign exchange with CEXIM in accordance with the agreed spot exchange rate and value date, and conduct the opposite conversion with CEXIM in accordance with the agreed forward exchange rate and value date. 

We can provide forward foreign exchange settlement and RMB & foreign exchange swap services in a range of freely convertible currencies. The service term can be any period no longer than 3 years, and the service term longer than 3 years can be offered in some special cases. You can conduct your transaction at any time within a certain period or only on a specified date. 

Benefits for Customers 

The transaction cost will be fixed with a fixed FX rate, hedging the FX risks you may be exposed to; 

Purchase and sale of forward FX will be based on the principle of real demand and the rate will be negotiated for every transaction. 

Tips 

Purchase and sale of forward FX requires your credit limit or the deposit of cash cover; 

Purchase and sale of forward FX should comply with foreign exchange regulations in China and required documents should be submitted to us.