MASTER'S THESIS AT THE UNIVERSITY OF BASRAH ON (THE ROLE OF SWAPS CONTRACTS IN HEDGING FINANCIAL RISKS):
On Thursday 22/6/2023 the Department of Financial and Banking Sciences at the College of Administration and Economics at the University of Basrah discussed a master's thesis on ((The Role of Swaps Contracts in Hedging Financial Risks)) - a case study of a commodity (oil) exchange contract between the South Refineries Company (Shuaiba Refinery)) and the Basrah Oil Company (BOC).
The researcher's thesis (Asia Ali Hadi) aimed to propose a derivative financial tool (exchangers) to hedge against the risks of oil prices for oil consumers and producers, and to provide the relevant authorities with the importance of swap contracts and encourage them to organize these contracts for their important role in hedging financial risks and reducing costs, and then Increase profits.
The thesis concluded that the use of swap contracts to hedge against the risks of rising oil prices for the South Refineries Company (Shuaiba Refinery) is better than the case of not hedging, as hedging reduces the cost of buying oil compared to not hedging.