India forms currency swap agreements task force

Intends to help bridge the current account deficit.

The government has decided to organize a task force to look into the possibility of having currency swap agreements with key trading partners.

It said that in view of the rising trade deficit and consequent current account deficit, a need has been felt to examine the role of currency swap arrangements in order to suggest a possible mechanism to address the issue.

The task force will examine various types of swap arrangements and their implication for India's trade and financial system. It will also study the pros and cons of these agreements.

The task force is expected to submit its recommendations to the Department of Commerce in four weeks.

Currency swap agreements involve the exchange of one currency for another currency. A dollar swap arrangement would help India support the rupee.

Swap agreements in the US dollar are expected to boost market confidence and prevent excess volatility in financial and foreign exchange markets.

Also Read

India, Maldives ink deal to promote local currencies for cross-border trade

Malaysia fines money changer for customer due diligence lapses

Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

I want to download the media kit