Asia to follow US on clearing amid fears about hedging costs for exporters
Banks in Asia say there is no easy formula in deciding whether moving over-the-counter foreign exchange instruments onto central counterparty (CCP) clearing would represent a lower-cost solution for their corporate clients, or if they are better off falling back to the traditional practice of using a credit support annex (CSA) under International Swaps and Derivatives Association master agreements.
In Asia, G-20 member countries such as Australia, China and Japan, are expected to largely follow
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