OTC derivatives markets activity in the first half of 2003

The data released by the BIS today on positions in the global over-the-counter (OTC) derivatives market point to continued vigorous growth in interest rate swap contracts in the first half of 2003. As a result, the total estimated notional amount of outstanding OTC contracts stood at $169.7 trillion at the end of June 2003, a 20% increase from end-December 2002. This compares with an 11% increase in the previous half-year period. Gross market values also grew significantly, rising by 24% to $7.9 trillion, compared with a 43% increase in the first half of 2002. The following trends are notable:

• Growth across all risk categories except gold

• Euro-denominated swap instruments continue to dominate

• Foreign exchange contracts show vigour

• Continued rise in gross market values

Comprehensive explanatory notes are included in the statistical release of the data, defining the coverage of and terms used to present the statistics. Statistical tables follow the explanatory notes.

Questions arising from these statistics can be directed to:

Andrew Jameson (telephone: +41 61 280 8191; e-mail: andrew.jameson@bis.org) or

Blaise Gadanecz (telephone: +41 61 280 8417; e-mail: blaise.gadanecz@bis.org)

The BIS expects to release the OTC derivatives statistics for the second half of 2003 no later than 20 May 2004.