Cover IMF Working Papers
Hedging Foreign Exchange Risk in Chile: Markets and Instruments
Author: Mr. Jorge A Chan-Lau
Series:
IMF Working Papers
Volume/Issue:
Volume 2005: Issue 037
Language:
English
Publication Date:
01 Feb 2005
DOI:
https://doi.org/10.5089/9781451860566.001
ISBN:
9781451860566
ISSN:
1018-5941
Pages:
23
Keywords:
WP; market; currency; option contract; derivative instrument; foreign currency
Legal-disclaimer:
IMF Working Papers describe research in progress by the author(s) and are published to elicit comments and to encourage debate. The views expressed in IMF Working Papers are those of the author(s) and do not necessarily represent the views of the IMF, its Executive Board, or IMF management.
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Policy makers have expressed interest in fostering the development of local foreign exchange derivatives markets with a view to reducing risks arising from currency mismatches between assets and liabilities in the corporate sector. This paper assesses foreign exchange exposure in the corporate sector in Chile, analyzes the current state of the foreign exchange derivatives market in Chile, and argues that liquid and developed foreign exchange derivatives markets can help promote financial stability.
Cover IMF Working Papers
IMF Working Papers
ISSN:
1018-5941
Publisher:
International Monetary Fund