A swap that ties the floating rate leg to a macroeconomic variable or reference index such as the growth rate in GDP or the overall price index. In other words, one leg of the swap is (or both are) linked to a macroeconomic variable or index such as Gross Domestic Product (GDP), Gross National Product (GNP), unemployment rates, or inflation rates. Also, the swap may be pegged to to a broad price index such as the consumer price index (CPI) or the wholesale price index. In this sense, one leg may involve the payment of a rate based on the macroeconomic variable or index, whilst the other pays a fixed rate or amount. As the underlying indicator or variable is macroeconomic, so it is not a tradable asset.

Macro swaps (macroeconomic swaps) are mainly used by firms to hedge risks associated with business cycle and purchasing power, than interest rate or exchange rate risk.