Japan and India have renewed the Bilateral Swap Arrangement (BSA) of up to $75 billion with effect from February 28, 2022.
The Bank of Japan, acting as agent for the Minister of Finance of Japan, and the Reserve Bank of India (RBI) signed the Amendment and Restatement Agreement of the BSA, per a RBI statement.
BSA is a two-way arrangement where both authorities can swap their local currencies in exchange for the US Dollar.
“Japan and India believe that the BSA, which aims to strengthen and complement other financial safety nets, will further deepen financial cooperation between the two countries and contribute to regional and global financial stability,” RBI said.