—Rob McGlinchey
The Indian Ocean island of Mauritius is looking to juice up its domestic corporations’ use of fx swaps and options to hedge exposures. The moves are being driven by government fears that growth in eurozone economies will deteriorate over the next seven years, leading to a long-term depreciation of the euro, which would hit its exports.
The island state has already morphed into something of an offshore hub for derivatives in Africa and South Asia. A number of dealers have been looking at structuring total return swaps and reverse convertibles in Mauritius, both ....