New hedging tool offers lower cost, but little else

Bank Indonesia last year allowed major lenders to offer call spreads to firms that need to hedge currency risks, but a promised swathe of new products in this area has yet to materialise


Companies in Indonesia are likely to benefit soon from much lower hedging costs after the country’s central bank said it would introduce a new hedging instrument. In September of last year Bank Indonesia (BI) finally allowed big banks in the country...

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