ICDX joins the likes of DGCX, GBOT, MCX and and SMX in offering currency contracts which are becoming quite popular with some traders.
Jakarta (June 20, 2012) – Indonesia Commodity and Derivatives Exchange (ICDX), the leading futures exchange in Indonesia, has successfully obtained the approval to launch 27 currency pair contracts from the Commodity Futures Trading Regulatory Agency (COFTRA) on June 6, 2012.
The launch of the 27 currency pair contracts marks the new era for the commodity futures trading in Indonesia, for it will be the first financial contract ever traded on exchange after the amendment of the law that regulates the commodity futures trading last year in 2011.
The launch of exchange traded currency contracts enables Indonesian investors, business operators, and financial institutions to manage their foreign reserves and take advantage of the price movement of those currencies.
As reported by the local news, at this moment, currency trading interbank in Indonesia mounts up to US$400 – $500 million on a daily basis, while offshore transactions sums up to staggering US$2 billion on a daily basis.
“We believe that through the introduction of the currency contracts, now, Indonesian investors and institutions have more economical reason to deposit their foreign reserves back in Indonesia, instead of somewhere else” said Megain Widjaja, Chief Executive Officer at ICDX.
TrustedBrokerz: The Source More Traders Are TrustingGo to article >>
The launch of the new contracts is expected to support the Indonesian Central Bank policy to gather back foreign reserves from export activities.
“The vast offering on currency pairs will allow market participants to actively engage in currency trading, managing their foreign reserves exposures against other currencies, and most importantly, attract their foreign reserves back in Indonesia”
For more information about the trading scheme, participation, and contract specifications of the 27 currency pair contracts, please visit ICDX’s website at http://www.icdx.co.id
In June 23rd, 2009, Indonesia Commodity and Derivatives Exchange (ICDX) or Bursa Komoditi dan Derivatif Indonesia (BKDI) obtained its operational license from Commodity Futures Trading Regulatory Agency (COFTRA). ICDX aims to become the world’s pricing benchmark for commodities through Indonesian primary products.
Within three years, ICDX has successfully launched the Crude Palm Oil Futures Contract (CPOTR), Gold Contracts (GOLDGR, GOLDUD, GOLDID), RBD Palm Olein Contract (OLEINTR) and Tin Physical Contract (INATIN). As of June 2012, the total volume transacted for all contracts have reached 2,583,733 lots.