Treasury Operations

Spot Operations

• Spot is a transaction, which is performed through simultaneous currency exhange, while the settlement is made after certain period, as a rule, one or two days later;

• Spot transaction is used by customer for the purpose of purchase of currency within the shortest term. 

Forward Operations

• Forward operation is a transaction between the bank and customer, which implies performing conversion operation in the future, on a pre-determined date and exchange rate;

• Currency forward can be used by the companies, having the revenues and liabilities in various currencies. Forward operations assist customers in insuring against currency risks and pre-determining future exchange rates.

Swap Operation

• A currency swap is a currency purchase operation between the bank and the customer, where the same amount of currency is bought and then sold back at a fixed exchange rate and date, agreed upon when the transaction is concluded;

• Currency swaps can be used by companies that make payments in the national currency but have cash resources and income in foreign currency;

• A currency swap helps customers prevent currency depreciation risks. The swap contract allows the customer to purchase GEL and pre-determine the future exchange rate for the currency purchase at the time of the transaction.