S.Korea, Indonesia renew currency swap deal for another 3 years

SEOUL, March 6 (Xinhua) -- The central banks of South Korea and Indonesia on Monday agreed to renew their bilateral currency swap deal for three more years, according to the Bank of Korea (BOK).

The BOK and Bank Indonesia announced the renewal of the bilateral local currency swap agreement which allows for the exchange of domestic currencies between the two central banks of up to 10.7 trillion won (about 8.3 billion U.S. dollars) or 115 trillion rupiah (about 7.5 billion dollars).

The renewed agreement will be effective for three new years until March 5, 2026. The central banks initially signed the swap deal in 2014 and extended it in 2017 and 2020.

The swap deal is aimed to promote bilateral trade and financial cooperation for economic development of the two countries while supporting the settlement of trade in local currency between the two nations even in times of financial stress, according to a joint statement.