Negotiations were underway for a 10 billion RMB (Renminbi) currency swap agreement between the Central Bank and the People’s Bank of China, a Minister said yesterday.
He said the currency swap would boost liquidity in the country.
Money, Capital Markets and Public Enterprise Reforms Minister Ajith Nivard Cabraal told Daily Mirror this would help the government tide over the present difficulties.
He said there was a similar agreement signed by him, as the then Governor of the Central Bank.
“We are seeking a similar arrangement with People’s Bank of China which is the Central Bank of China.,” he said.
Earlier, the Reserve Bank of India (RBI) signed an agreement for extending a $400 million currency swap facility to Sri Lanka to boost foreign reserves and ensure the financial stability of the country. (Kelum Bandara)