SINGAPORE: Currency Swap Arrangement with China Extended for Five Years

Singapore and China have agreed to extend their currency swap arrangement for another five years. The Monetary Authority of Singapore (MAS) and the People’s Bank of China (PBOC) announced on 14 July 2022 that the Bilateral Currency Swap Arrangement (BCSA) has been renewed until 2027, and is effective from 13 July 2022. Under the arrangement, the two central banks are allowed access to liquidity in each other’s currencies to fund trade and investment as well as stabilise financial markets.

According to a statement from the MAS, a maximum of SGD65 billion (US$46.6 billion) and CNY300 billion (US$44.3 billion) in liquidity will available for financial institutions operating in China and Singapore, respectively.