Japan, China Announce Revival of Currency Swap Pact
Beijing, Oct. 26 (Jiji Press)--The Japanese and Chinese governments announced Friday that the two Asian countries will reinstate their currency swap arrangement after a four-year hiatus.
Japan and China also agreed to set up dialogue between their industry ministers to hold consultations on industrial policies, they said.
The announcements came as Japanese Prime Minister Shinzo Abe and Chinese Premier Li Keqiang held talks in Beijing.
A new currency swap pact was concluded between the Bank of Japan and the People's Bank of China. The accord will allow yen to be swapped for yuan and vice versa in times of a financial crisis, to keep the financial system stable.
The amount of funds covered by the arrangement was not made public but is believed to have been set at up to 3 trillion yen, 10 times larger than the amount under the previous pact.
[Copyright The Jiji Press, Ltd.]