$75-bn currency swap with India a safety net for financial crises: Japan

forex swap with India intended to function as safety net

Japanese Finance Minister Taro Aso said on Tuesday that a currency swap agreement it signed with India was intended to function as a safety net in case of a financial crisis.

Speaking to reporters, Aso also said the $30 billion currency swap deal Japan signed with China last week would support Japanese companies and banks operating in China if they had trouble exchanging yen for yuan.

Japan and India signed a $75 billion bilateral currency swap agreement on Monday during Indian Prime Minister Narendra Modi's visit to Tokyo.