Summary The deal means the pair can swap each other's currency into US dollars.
TOKYO: Japan and India have inked a $15 billion currency swap agreement, the Bank of Japan said on Tuesday, in the latest sign of cooperation between the Asian giants.
The deal means the pair can swap each other s currency into US dollars with a maximum value of $15 billion through their central banks as a shield against short-term funding problems and excessive volatility on forex markets.
The three-year pact expands a previous currency arrangement between the two countries that lasted from 2008 to 2011 with a maximum value of $3 billion.
"The objective of this bilateral agreement is to address short-term liquidity problems," the BoJ said in a statement.
Japan, which is embroiled in a territorial spat with China, has been ramping its business and military ties with India.
