IDBI Bank Underwrites First CDS Transaction
OREANDA-NEWS. December 8, 2011. IDBI Bank has become the country's first PSU Bank to underwrite a Credit Default Swap (CDS) transaction in the domestic market for managing credit risks associated with Indian Corporate Bonds. This is the first transaction of its kind entered by any public sector bank with another bank in
Reserve Bank of
Commenting on this historic transaction, Mr. Melwyn Rego, Executive Director, IDBI Bank said, "IDBI Bank has always been in the forefront for launching novel financial products. This important initiative by the Bank would lead to widening of domestic Corporate Bond for a better price discovery for Indian companies."
"The launch of CDS market in