With a view to strengthening regional financial and economic cooperation, Governor of the Reserve Bank of India Dr.D Subbarao announced at the 24th SAARC Finance Governors’ Meeting in Nepal that his bank will offer Swap arrangement of $2 billion both in foreign currency and Indian rupees.
The facility will be available to all SAARC member countries.
With launching of this facility, member countries can now approach the Reserve Bank of India for availing of the facility.
The swap will be offered in US dollar, Euro or Indian Rupee against the domestic currency or domestic currency denominated government securities of the requesting country.
The swap amount available to various member central banks has been arrived at broadly based on two months import cover subject to a floor of US$ 100 million and a maximum of US$ 400 million per country.