How should the foreign exchange bureau help enterprises hedge their exchange rates?

In order to practice finance for the people and respond to the needs of enterprises, Guangdong Branch of Foreign Exchange Bureau took the opportunity of doing practical things for the masses, made great efforts to solve the problem of enterprise exchange rate hedging, supported enterprises to better adapt to the two-way fluctuation of RMB exchange rate and serve the development of the real economy, and achieved remarkable results.

First, the foreign exchange bureau helps enterprises hedge their exchange rates.

The first is to formulate a scientific and effective hedging strategy. Enterprises can formulate hedging strategies according to their own risk exposure and combined with production and operation conditions. In terms of hedging ratio, we can set a simple and easy "fixed hedging" strategy at the beginning, and after some experience, we can choose "dynamic hedging", that is, set a certain hedging ratio interval. In terms of product selection, follow the principle of simplicity and applicability, and choose foreign exchange derivatives such as forwards, swaps and options that are suitable for their risk tolerance and meet their hedging needs.

Second, choose flexible and applicable trading methods.

Enterprises can choose "static hedging", that is, the import and export business of enterprises adopts the order system, and the order stipulates the delivery quantity and quotation at each time. After the order is confirmed, use derivatives to lock each term; You can also choose "rolling hedging", that is, the foreign exchange exposure of the enterprise is long-term and the amount is relatively fixed, such as long-term foreign currency liabilities. According to the liquidity of swap products with different maturities and the changing trend of interest rate difference between currencies, the appropriate lock-up period can be selected and kept rolling lock-up; You can also choose "layered rolling", that is, the sales of enterprises are directly oriented to overseas retail terminals or users, and the future sales data is difficult to predict, so different ratios can be configured for different periods, and the hedging ratio can be increased accordingly for periods with high prediction accuracy.

To sum up, recently, in the conference room of Guangdong Branch of the State Administration of Foreign Exchange, the relevant person in charge of the State Administration of Foreign Exchange had a heated discussion with experts from nearly 30 banks in Guangzhou to discuss how to improve services, guide enterprises to establish the concept of exchange rate risk neutrality, and better meet the exchange rate risk management needs of enterprises.