The Bank of Korea to Provide $4 Billion in 6th Korea-US Currency Swap on the 6th

[Image source=Yonhap News]

[Asia Economy Reporter Jang Sehee] The Bank of Korea announced on the 4th that it will conduct the 6th foreign currency loan competitive bidding worth a total of 4 billion dollars using the Korea-US currency swap funds.

The bidding will take place on the 6th from 10:00 AM for 30 minutes. The bid amount is 4 billion dollars for an 85-day term. It is scheduled to be supplied on the 8th and will mature on July 30.

Eligible bidding institutions include banks under the Bank Act, Korea Development Bank, Industrial Bank of Korea, and Korea Eximbank.

The minimum bid interest rate will be the OIS (Overnight Index Swap) rate plus 25 basis points (1bp = 0.01 percentage points), which will be announced around 9:00 AM on the 6th via the Bank of Korea website bulletin board and the Bank of Korea financial network.

The bidding will proceed using a "multiple price method," where the winning bidders are selected in order of higher bid amounts and then lower bid interest rates, provided the rates are above the minimum bid interest rate.

The supply of Korea-US currency swap funds has been conducted five times: 12 billion dollars on the 31st of last month, 8.5 billion dollars on the 7th, 4 billion dollars on the 14th, 4 billion dollars on the 21st, and 4 billion dollars on the 27th.

Meanwhile, the Bank of Korea also supplied Korea-US currency swap funds in the same manner in 2008.

This content was produced with the assistance of AI translation services.