Deposits

The Bank offers to non-bank financial institutions purpose and non-purpose deposits at different terms under standard and non-standard contractual conditions depending on the client’s needs.

Interest Rate Swap – (Interest Rate Swap - IRS)

Interest Rate Swap is a product with which the buyer exchanges the floating interest rate for a fixed rate, or vice versa, for a period over one year. Usually the principal amount is contracted (which is fixed and serves as a calculation base) for which the bank (buyer of the Interest Rate Swap) in certain period pays to the client floating (fixed) interest, and the client also periodically pays to the bank fixed (floating) interest.

In this way, the client turns the debt synthetically with a floating interest rate (for ex. 3М Euribor + margin) in fixed interest rate (IRS fixed interest rate + margin). The product may be adapted to fully suits the client’s loan, debt (depreciation, calculation intervals and so on).

Repo(FX Swap)

Repo transactions are opportunity to purchase or sell securities with obligation on the part of the bank to repurchase them on a date that suits to the client. Subject to repo transactions are government bonds, treasury bills of the Ministry of Finance as well as corporate or bank bonds. They are usually contracted for short terms, but also for a period over one year.

The purpose of this product is to allow the buyer to bridge the need for liquid assets without selling the securities in their disposal.