How To Fix VAL704 - Swap rate &1 to &2 for exchange rate type &3 must be interpolated

VAL704 - Overview

• Message type: E = Error

• Message class: VAL - Treasury: Messages for General Valuation

• Message number: 704

• Message text: Swap rate &1 to &2 for exchange rate type &3 must be interpolated

Trados Memory = TR

What causes this issue?

In table AT15, no valid swap rate was found from &1 to &2 with the term
&4 and exchange rate type &3. The swap rate was therefore determined
using linear interpolation.

System Response

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

How to fix this error?

Procedure for System Administrators

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message VAL704 - Swap rate &1 to &2 for exchange rate type &3 must be interpolated ?

  The SAP error message VAL704 indicates that there is an issue with the swap rate for a specific exchange rate type that needs to be interpolated. This typically occurs in the context of financial transactions, particularly in the valuation of financial instruments where swap rates are used.
  
  Cause:
  The error arises when the system cannot find a direct swap rate for the specified currency pair and exchange rate type. Instead, it attempts to interpolate the rate based on available data, but it fails to do so. This can happen due to several reasons:
  
  Missing Data: The required swap rates for the specified currencies and exchange rate type are not maintained in the system.
  Incorrect Configuration: The configuration for the exchange rate type or the swap rate settings may be incorrect or incomplete.
  Date Issues: The swap rates may not be available for the specific date being processed, leading to interpolation failure.
  Currency Pair: The currency pair