SE Asia central banks in talks to overhaul FX forward rates from S'pore

SINGAPORE/JAKARTA: Southeast Asian central banks are in talks to overhaul the way reference rates for offshore currency derivatives are set following investigations by banks in Singapore that found traders in the city-state tried to manipulate the market, the president of Indonesia's foreign exchange industry group said.

The discussions show heightening concerns at central banks in Indonesia and Malaysia over Singapore's market for non-deliverable currency forwards (NDFs), which they say has undermined foreign exchange controls.