Türkiye and Kazakhstan Sign $731 Million Currency Swap Agreement

The Central Bank of the Republic of Türkiye and the National Bank of the Republic of Kazakhstan have entered into a bilateral swap agreement involving the Turkish lira and the Kazakhstani tenge.

The agreement, signed in Washington, US, by Governor Fatih Karahan, PhD, and Governor Timur Suleimenov, allows the exchange of local currencies of up to TRY 28 billion (~$731.11 million) or KZT 423 billion, The Caspian Post reports citing foreign media.

This arrangement is designed to promote bilateral trade through a swap-financed trade settlement facility and financial cooperation between the two countries. Both sides expect that this arrangement will further strengthen the collaboration between the two central banks, Central Bank of the Republic of Turkiye said in a release.

It will be effective for three years and may be extended further by mutual agreement.