A forex swap is an agreement between two foreign parties involving the swapping of interest payments on a loan made in one currency for interest payments on a loan in another currency. It can further include the principal amount exchange. The principal amount would be exchanged back with the conclusion of the swap deal. A forex swap usually involves a notional principal to ascertain interest. However, it does not get exchanged. Here are Some of the Forex Swap Types Fixed for Fixed Currency Swap Fixed for Floating Currency Swap Floating for Floating Currency Swap Amortizing Currency Swap Accreting Currency Swap Zero-Coupon Currency Swap