City Bank signs interest rate swap deal with Bangla Trac
BI Report || BusinessInsider
Sheikh Mohammad Maroof, additional managing director of City Bank, and M Jahangir Alam, group CEO of Bangla Trac, inked the agreement on behalf of their respective organisations at City Bank head office. Photo : Courtesy
City Bank for the first time has signed an interest rate swap (IRS) deal of $21.43 million with Bangla Trac Power Unit-1.
An interest rate swap (IRS) is an OTC derivative contract in which two parties periodically exchange interest payments of different types (fixed and floating interest rate), on a specified notional principal during a set period of time.
Sheikh Mohammad Maroof, additional managing director of City Bank, and M Jahangir Alam, group CEO of Bangla Trac, inked the agreement on behalf of their respective organisations at City Bank head office in the capital recently, said a press release.
Through this deal City Bank steps into the OTC derivative products like interest rate swap in this market.
Senior officials from both organisations were present at the signing event, it reads.
