City Bank signs interest rate swap deal with Bangla Trac

City Bank has signed an Interest Rate Swap (IRS) deal of $21.43 million with Bangla Trac Power Unit-1 Ltd. for the first time recently, says a statement. 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. Through this deal, City Bank steps into the OTC derivative products like Interest Rate Swap in this market. City Bank is actively participating in the Foreign Exchange market in Bangladesh and has been providing customised solutions to its customers. Sheikh Mohammad Maroof, Additional Managing Director of City Bank, and M Jahangir Alam, Group CEO, Bangla Trac, signed the agreement on behalf of their respective organisations at the bank's head office. Senior Management from both were also present in the signing ceremony.
— Statement