BoJ, RBI sign pact for currency swap

The Bank of Japan (BOJ), and the Reserve Bank of India (RBI) have signed a currency swap agreement that enables both countries to swap their local currencies (i.e., either Japanese yen or Indian rupee) against US dollar for up to $75 billion.The agreement is effective from Thursday. "The authorities of both countries believe that, by enhancing financial cooperation, the bilateral swap agreement will contribute to the stability of financial markets, thereby further developing the economic and trade ties between the two countries," RBI said in a press release.