Sri Lankan businesses focus on forex hedging amid rupee volatility

August 29, 2007 (LBO) – Sri Lankan exporters, importers and freight forwarders are to discuss ways of managing foreign exchange risks at a time when the rupee has started weakening against the dollar. Standard Chartered Bank, which structured and completed Sri Lanka’s first rupee option, is to provide technical experts for a seminar on understanding foreign exchange risks and the tools and products available to manage and hedge foreign exchange exposure.

It is organized by the Sri Lanka Shippers’ Council and the Academy for International Trade and Transport, the training arm of the Sri Lanka Freight Forwarders Association.

“The primary objective of the seminar is to update those involved in international trade as well as international transport providers and allied service providers about the global products and best practices in the management of foreign exchange risks,” a statement from the organizers said.

The program on September 7will give the participants an understanding of foreign exchange risk, the hedging products available and how a company can select the option best suited to their individual exposure and industry.

“The topic is a very important current event that discusses global markets as well as the domestic currency market and how best individuals and organisations could mange currency options in volatile conditions and befit at the same time,” the organizers said.

The organisers say the seminar will benefit export/import companies, fund managers, accountants and finance managers as well as any individual or organisation dealing with foreign exchange.