CME Group, a derivatives marketplace, has cleared two new swap currencies: the Indian Rupee overnight index swaps (OIS) and Korean Won interest rate swaps (IRS). With these two new additional currencies, CME Group now offers 21 clearable OTC IRS currencies.

“Clearing Korean won and Indian rupee swaps in the first week they're available for customers is a testament to the strong demand from global clients and liquidity providers, particularly in Asia, to voluntarily clear these products,” says Sean Tully, senior managing director of financial and OTC products for CME Group. “Our focus is to provide better long-term liquidity, as well as counterparty, capital and operational efficiencies to market participants who are looking for solutions in the cleared space.”

CME Group say the launch of clearable Korean Won out to 21 years and Indian Rupee out to 10 years represents their efforts to expand its cleared OTC IRS offerings based on client demand, and allows for global market participants to access liquidity and participate in clearing in all regions.

Most recently, CME launched clearing for Brazilian Real CDI swaps, which has more than 80 market participants clearing US$7 billion per day in 2017. Like Brazilian Real, Korean Won and Indian Rupee are non-deliverable, allowing CME Group to offer customers more efficient access to emerging markets. The average daily notional of the Indian Rupee swaps market is approximately US$6 billion per day, and the average daily notional of Korean Won swaps market is approximately US$12 billion per day according to the 2016 BIS Triennial Survey Data.