Forward foreign exchange transaction refers to a foreign exchange transaction in which both parties agree to make delivery on a specific date in the future at the currency, exchange rate and amount agreed at the time of transaction. The Foreign exchange option is an option, that is, the buyer of the option pays the option fee to the seller, and obtains the right to conduct a certain number of foreign exchange transactions with the seller at a specific strike price during the duration or expiration date of the contract. Foreign exchange swap means that both parties agree to exchange currency A for a certain amount of currency B, and exchange currency B for the same amount of currency A at the agreed price in the future. Currency swap refers to a transaction in which the two parties exchange the foreign currency principal of the agreed amount within the agreed period, and at the same time exchange the interest of the two currencies on a regular basis to convert the assets or liabilities of one foreign currency into those of another foreign currency. Currency swap can lock in exchange rate and interest rate risks at the same time, and flexibly adjust the way of collecting interest.

The above contents are for your reference. Please refer to the actual business regulations.

If you have any questions, please contact online customer service of Bank of China.

You are cordially invited to download and use China Bank Mobile Banking APP or China Bank Cross-border GO APP to handle related business.