Global Business

Treasury

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We make your trading and funding needs smooth and convenient. Choose among our range of services.

We offer foreign exchange services for:
  • Spot transaction
  • Forward contract
  • Currency option
  • Currency and interest rate swaps

A Spot Transaction is a foreign exchange transaction is a deal in which each party agrees to deliver a certain amount of currency against another currency at an agreed exchange rate for same day value - tomorrow and two days value.

A forward contract is an agreement to purchase or sell one currency in exchange for another currency for settlement on a fixed date in the future at a fixed rate of exchange.

A FX Swap is the purchase of one currency against another at an agreed rate for delivery on one date with a simultaneous sale to reverse the transaction on another value date and rate.

A Currency Option is a contract whereby one party has the right but not the obligation to purchase or sell an underlying asset at an agreed price on or before a given date usually against payment of a premium.

An Interest Rate Swap is an agreement to exchange a series of interest cash flows based on a specified notional amount from a fixed interest rate to a floating rate (or vice versa) which is linked to a reference rate (e.g LIBOR).

Money market

We also give you the necessary guidance to invest in treasury bills.

Treasury Bills often called T-Bills are a Government of Mauritius MUR denominated debt instruments and are considered money market instruments because of their short durations.

T-Bills are traded for periods ranging from a few days to up to one year. The Treasury bill is sold at a discount of its face value. The difference between the purchase price and the face value is treated as interest and the investor receives the face value at maturity. You can hold a bill until it matures or sell it before it matures.

Benefits:

  • Free of default risk
  • Issued in multiples of MUR 100,000 - (the face value or nominal amount)
  • Discounted instrument which pays face value at maturity
  • High degree of liquidity as it is traded on a daily basis
  • Instrument can be used as collateral against facilities granted by the bank