BSP, Bank of Japan renew currency swap arrangement │ GMA News Online

The Philippines and Japan have renewed their currency swap arrangement, which took effect on the first day of 2022.

In a statement, the Bangko Sentral ng Pilipinas (BSP) said it signed the third Amendment and Restatement Agreement of the Bilateral Swap Arrangement (BSA) with the Bank of Japan, acting as agent for the Minister of Finance of Japan.

The central bank said the BSA is a two-way arrangement where both authorities can swap their local currencies in exchange for the US dollar.

The arrangement also enables the Philippines to swap the Philippine peso against the Japanese yen, the BSP said.

It noted that the size of the BSA remains unchanged, that is, up to $12 billion or its equivalent in Japanese yen for the Philippines, and $500 million for Japan.

The renewed BSA incorporates amendments to align the BSA with the recent amendments to the Chiang Mai Initiative…