MAS, BOJ renew bilateral local currency swap agreement

The two central banks can exchange local currencies of up to S$15b.

The Monetary Authority of Singapore (MAS) and the Bank of Japan (BOJ) have renewed their Bilateral Local Currency Swap Agreement for another three years.

This marks the second time that the agreement was renewed. The arrangement was first established in November 2016 and renewed in November 2019. 

Under the arrangement, the two central banks can exchange local currencies with each other of up to S$15b or JPY1.1t. 

MAS will thus be able to provide Japanese yen liquidity to eligible Singapore financial institutions for their cross-border operations.