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Quick establishment of the interest rate swap market

If cost advantage of the interest rate swaps might likely be arbitraged away within the competitive markets, what other explanations exists in order to describe quick establishment of interest rate swap market?

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All types of the debt instruments are not constantly presented to all the borrowers.  Interest rate swaps may assist within the market completeness.  That says borrower can use swap in order to get out of one type of financing and to acquire more desirable type of credit which is more suitable for its asset maturity structure.

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