The People’s Bank of China and the central bank of Saudi Arabia recently signed a local currency swap agreement, China’s central bank said in a statement on Monday, which will be valid for three years and can be extended by mutual agreement.
Worth 50 billion yuan ($6.93 billion) or 26 billion Saudi riyals, “the establishment of a bilateral currency swap arrangement between China and Saudi Arabia will help strengthen financial cooperation between the two countries, expand the use of local currencies … and promote trade and investment,” the statement read.
