Foreign exchange position of the authorized bank

A list of the bank's operations that affect the size of the open foreign exchange position and, consequently, on the bank's assets and liabilities in foreign currency purchase (sale) of cash and non-cash foreign currency, current, and urgent operation (under the swap, forward, option, etc.), for which there are assets and liabilities denominated in foreign currencies, regardless of the methods and forms of payments to them; receipt (payment) of foreign currency in the form of income or expense and accrued income and expenses are taken into account in the relevant accounts, purchase (sale) of fixed assets and inventory in foreign currency, receipt of funds in foreign currency to the authorized capital; repay bank bad debts in foreign currency (which the cancellation of the respective account of costs), and other exchange operations with foreign currency ( requirements of a single currency in payment for them in other currencies, including the National, which leads to a change in the structure of assets and liabilities of the immutability of the contrary). Foreign currency assets - are the resources in foreign currencies, which are controlled by the bank as a result of past events, the use of which is likely to contribute to growth in the future economic benefits. Accordingly, the bank's balance sheet foreign currency assets are presented as cash in foreign currency, precious metals, in foreign currency nostro correspondent accounts with the NBU and other banks, deposits and loans to other banks, securities in foreign currency, foreign currency loans and advances to customers , investments in foreign currency in associated companies and subsidiaries. Foreign exchange assets of the bank formed as a result of their active currency transactions, which include operations on placement of foreign currency and precious metals to generate income. Composition and structure of foreign currency assets to a large extent depend on the passive foreign exchange transactions, ie operations through which the bank generates foreign exchange resources for active operations. The sources of attracting foreign exchange (up to foreign currency liabilities) include: foreign currency vostro accounts of the correspondent, foreign currency deposits and loans from other banks in foreign currency on current and deposit accounts, loans from international financial organizations; Category: management operations of commercial banks | Tags: asset