Banking services and risk management
The Asian Office's Regional Treasury dealing room was established in October 2000 to enhance the level of banking services and support regional customers in managing their foreign exchange reserves. Risk monitoring of regional credits and markets is performed by the BIS's independent local Risk Management unit.
Through its Regional Treasury, the Asian Office serves as the gateway for BIS banking customers' regional investment activities and provides regional customers with access to the full range of the Bank's financial services during Asia-Pacific trading hours, supplementing the Basel-based banking activities. At the March 2019 financial year-end, placements by regional central banks constituted 63% of total placements.
The Hong Kong-based trading room provides access to key investment destinations, such as the onshore renminbi interbank bond market. As a member of the China Foreign Exchange Trade System (CFETS) since 2016, the BIS, through the Asian Office's direct access, provides all its banking customers with onshore renminbi services. With its expertise and close relationships with regional central banks, the Asian Office trading room is well placed to expand the Bank's offerings of products denominated in regional currencies.
Asian Bond Funds
The BIS is the administrator for ABF2, the second Asian Bond Fund pooling investments in one pan-Asian and eight local funds with private sector participation, for the 11 members of the Executives' Meeting of East Asia-Pacific Central Banks. The Asian Office provides local support to this initiative, including analytical work on bond markets in the region.
- Opening markets through a regional bond fund: lessons from ABF2
- Local currency bond markets and the Asian Bond Fund 2 Initiative
- A spare tire for capital markets: fostering corporate bond markets in Asia
Reserve management workshops
The Asian Office's Regional Treasury organises a reserves and risk management workshop every year in the region.
These knowledge-sharing events are conducted to facilitate the exchange of information among reserve managers and promote the development of investment and risk management capabilities at central banks.