Template-Type: ReDIF-Article 1.0
Author-Name: Claudio Borio 
Author-Name: Robert N McCauley
Author-Name: Patrick McGuire
Title: Dollar debt in FX swaps and forwards: huge, missing and growing
Abstract: FX swaps, forwards and currency swaps create forward dollar payment obligations that do not appear on balance sheets and are missing in standard debt statistics. Non-banks outside the United States owe as much as $25 trillion in such missing debt, up from $17 trillion in 2016. Non-US banks owe upwards of $35 trillion. Much of this debt is very short-term and the resulting rollover needs make for dollar funding squeezes. Policy responses to such squeezes include central bank swap lines that are set in a fog, with little information about the geographic distribution of the missing debt. 
Journal: BIS Quarterly Review
File-URL: http://www.bis.org/publ/qtrpdf/r_qt2212h.pdf
File-Format: Application/pdf
File-URL: http://www.bis.org/publ/qtrpdf/r_qt2212h.htm
File-Format: text/html
Year: 2022
Month: December
Classification-JEL: F31, F34, F41.
Handle: RePEc:bis:bisqtr:2212h