Bank Of Japan, Bank Negara To Conclude Bilateral Swap Arrangement Of Up To US$3 Bln

KUALA LUMPUR, May 5 (Bernama) -- Bank of Japan, acting as the agent for the Minister of Finance of Japan and Bank Negara Malaysia has reached an agreement in-principle for a bilateral swap arrangement (BSA) of up to US$3 billion (US$1=RM4.33). In a joint statement issued Friday, both authorities said the arrangement featured a two-way swap, in which Japan and Malaysia would, upon request, provide US dollars to each other through currency swaps. "The authorities are currently undertaking the necessary action to complete their respective domestic approval process," said the statement. It added that the authorities in Japan and Malaysia were looking forward to strengthening bilateral co-operation through this arrangement that would contribute to the stability of financial markets. “It will further deepen the economic and trade ties between both countries,” said the authorities. -- BERNAMA