Currency Swap Arrangement with Japan enhanced to 50 billion US dollar

Bilateral Currency Swap Arrangements between India and Japan expanded to 50 billion US dollars.

Created On: Sep 10, 2013 10:00 IST

Government of India and Government of Japan on 6 September 2013 decided to expand their bilateral currency swap arrangement from 15 billion US dollars to 50 billion US dollar till December 2015. It is expected that this will contribute to the stability of financial markets. The Government of India and the Reserve Bank of India would discuss and finalise the terms of this enhancement with their Japanese counterparts. Following the provisions of the agreement Japan will also get the facility of exchanging Yen for dollars.

Earlier, on 4 December 2012 a bilateral swap agreement was signed between the Bank of Japan and the Reserve Bank of India for 15 billion US dollar. This arrangement aimed at addressing possible short-term liquidity mismatches and supplementing existing international financial arrangements, as part of the effort to strengthening the mutual cooperation between Japan and India.

The currency swap deal would help the Governments of both the nations to work during emergency situation to tackle the Balance of Payments (BoP) problems. On Indian perspective, the arrangement would help in reversing the fears of Indian side in relation to the worsening situations in context of its Current Accounts Deficit (CAD).

Take Weekly Tests on app for exam prep and compete with others. Download Current Affairs and GK app

एग्जाम की तैयारी के लिए ऐप पर वीकली टेस्ट लें और दूसरों के साथ प्रतिस्पर्धा करें। डाउनलोड करें करेंट अफेयर्स ऐप


Related Stories

Comment (0)

Post Comment

7 + 6 =
Disclaimer: Comments will be moderated by Jagranjosh editorial team. Comments that are abusive, personal, incendiary or irrelevant will not be published. Please use a genuine email ID and provide your name, to avoid rejection.

    Monthly Current Affairs PDF

    • Current Affairs PDF November 2021
    • Current Affairs PDF October 2021
    • Current Affairs PDF September 2021
    • Current Affairs PDF August 2021
    • Current Affairs PDF July 2021
    • Current Affairs PDF June 2021
    View all

    Monthly Current Affairs Quiz PDF

    • Current Affairs Quiz PDF November 2021
    • Current Affairs Quiz PDF October 2021
    • Current Affairs Quiz PDF September 2021
    • Current Affairs Quiz PDF August 2021
    • Current Affairs Quiz PDF July 2021
    • Current Affairs Quiz PDF June 2021
    View all