Indian and Japanese Governments have decided to expand their bilateral currency swap arrangement from US$ 15 to US$ 50 billion. It is expected that this will contribute to the stability of financial markets. The Government of India and the Reserve Bank of India will discuss and finalise the terms of this enhancement with their Japanese counterparts.

It may be recalled that on December 4, 2012 a bilateral swap agreement was signed between the Bank of Japan and the Reserve Bank of India for US$ 15 billion. This arrangement aimed at addressing possible short-term liquidity mismatches and supplementing existing international financial arrangements, is part of the effort to strengthen mutual cooperation between Japan and India.

Alpana Killawala
Principal Chief General Manager

Press Release : 2013-2014/514