RBI released the revised framework for currency swap arrangements with Saarc countries
- RBI released the revised framework for currency swap arrangements with Saarc countries.
- A revised framework for currency swap arrangements with South Asian Association for Regional Cooperation (Saarc) countries has been released by the Reserve Bank of India.
- This revised framework will remain effective from 2024 to 2027.
- Under this framework, the RBI will enter into bilateral swap agreements with those Saarc central banks who want to utilize the swap facility.
- All Saarc member countries can use the currency swap facility.
- Under his framework, a new rupee swap window has been introduced. It will offer various concessions to support swaps in Indian rupees.
- Through a separate USD/Euro Swap Window, RBI will continue to offer swap arrangements in US dollars and euros. It has an overall corpus of $2 billion.
- The Saarc Currency Swap Facility became operational on November 15, 2012, to fund short-term foreign exchange liquidity requirements or balance of payment crises in Saarc countries.