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ECB and the People’s Bank of China successfully test bilateral currency swap arrangement
The European Central Bank (ECB) and the People’s Bank China (PBC) successfully test their bilateral currency swap arrangement The tests serve to confirm operational readiness and are not a precursor to activation of a swap Swap arrangement contributes to global financial stability The ECB and the PBC have successfully completed tests of their existing bilateral currency swap arrangement. From a Eurosystem perspective, the arrangement serves as a backstop facility to address sudden and temporary disruptions in the renminbi market due to liquidity shortages in euro area banks. Liquidity providing arrangements ... (full story)