Argentina, China extend currency swap deal

BUENOS AIRES, (Argentina): Argentina and China on Wednesday extended a multi-billion-dollar currency swap agreement by five years, Argentine financial authorities reported.

The 130-billion-yuan (roughly USD19 billion) agreement between Beijing and cash-strapped Buenos Aires has been in effect since 2009. The five-year extension follows previous renewals of three years at a time. The longer period aims to provide “greater predictability regarding the continuity of this tool,” Argentina’s central bank stated.

A 35-billion-yuan tranche released in 2023 will remain in effect, the statement added.

The measure intends to “strengthen financial stability in Argentina and to support trade and investment between the two countries,” it said.