Bank of America on Monday extended its guaranteed exchange rates by up to one year, the longest tenor in the industry, in an effort to reduce the risks to cross-currency transactions amid rising volumes.

The 1-year tenor is available in 37 currency pairs. Bank of America (BofA) has introduced guaranteed FX rates of up to 1-year. Touted as the longest tenor available in the industry, the year-long FX rates are aimed at simplifying the management of FX risk associated with cross-currency payments and receipts,

European Central Bank Governing Council member Gediminas Simkus said borrowing costs will be reduced further should the downtrend in inflation persist, though he wouldn’t predict the outcome of officials’ next meeting.

The European Central Bank is likely to cut its key interest rate down to its "natural" level between 2% and 3% but it may need to reduce it even further if a fall in inflation becomes entrenched, ECB policymaker Gediminas Simkus said on Monday.