European Central Bank’s policymakers announced their commitment to enter into a bilateral swap agreement with the People’s Bank of China for a three-year term. Thus, after having reached the bilateral resolution, senior executives of these two influential financial institutions made a statement on the swap arrangement on a recent day. At a media conference on the above-mentioned agreement, both parties acknowledged the good timing of the decision and stated that such partnership is quite urgent in the current economic environment. The agreement clearly determines the ceiling amount of swaps which is worth €45 billion and 350 billion Chinese yuan. The financial experts pursue the target to encourage the financial cooperation. Besides, the agreement is supposed to give a start to switching to the new level of the bilateral commercial relations and to ensure the reliable protection of financial markets. In the meantime, this is not the first swap agreement of the People’s Bank of China. Last week, the similar agreement was endorsed with Indonesia at the maximum amount of $16.3 billion. Last month, the People’s Bank of China signed currency swap agreements with Hungary and Albania. Moreover, China has entered into a similar engagement with the UK, Australia, South Korea and almost a couple of dozens of other countries including Belarus and Ukraine.
