Abu Dhabi – Mubasher: The UAE and South Korea agreed upon renewing the bilateral currency swap agreement (BCSA) until 2022, South Korean news agency Yonhap reported.
The agreement was signed by Lee Ju-yeol, the governor of the Bank of Korea (BOK), and his UAE counterpart Mubarak Al Mansoori in Washington.
The original BCSA was signed in October 2013 at a value of AED 20 billion ($5.4 billion).
Extending the deal for three more years promotes both trade and financial cooperation between both nations.
The newly signed deal will continue to allow the exchange of local currencies between the two central banks of up to AED 20 billion, equivalent to 6.1 trillion Korean won, according to the BOK.
“The BOK and the Central Bank of the UAE renewed their bilateral currency swap agreement, reaffirming their commitment toward promoting bilateral trade and financial cooperation between the two countries,” the BOK said in a joint press release.
Currently, South Korea has currency swap agreements worth $132.8 billion with more than seven countries including China, Canada, and Switzerland.
It is worth noting that South Korea’s exports to the UAE recorded $4.59 billion during the full-year 2018.
