The Bank of Thailand has reached an agreement to extend bilateral currency swap worth 70 billion yuan (370 billion baht) with the People's Bank of China (PBC) for another three years.
"The swap transactions between the Bank of Thailand and the PBC will provide access for both central banks to the currency of the other party. This should bolster confidence in the private sector as well as for financial institutions on the availability of local currency for cross-border trade and investment settlement," said a Bank of Thailand's statement.
In addition to the swap agreement worth 70 billion yuan signed in 2014, the central bank signed a memorandum of understanding to create renminbi clearing arrangements in Thailand.
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