The central banks of Türkiye and Kazakhstan inked a bilateral swap deal in their respective currencies to promote bilateral trade through a swap-financed trade settlement facility, the Turkish central bank announced in a statement on Thursday.
"The Central Bank of the Republic of Türkiye (CBRT) and the National Bank of the Republic of Kazakhstan signed a Turkish lira-Kazakhstani tenge bilateral swap arrangement. Governor Fatih Karahan and Governor Timur Suleimenov signed the arrangement in Washington," the CBRT said.
The swap arrangement allows for the exchange of local currencies between the two central banks, up to a total of TL 28.0 billion (nearly $730.80 million) or KZT 423 billion, it added.
The arrangement will be effective for three years and could be extended by mutual agreement between the two sides.
"This arrangement is designed to promote bilateral trade through a swap-financed trade settlement facility and financial cooperation between the two countries. The two sides expect that this arrangement will further strengthen the collaboration between the two central banks," the statement read.
