Approved by the State Council, the People's Bank of China (PBOC) and the Central Bank of the Republic of Türkiye (CBRT) recently renewed the bilateral currency swap agreement. The size of the agreement is RMB35 billion (TRY189 billion). The agreement is valid for three years and can be renewed upon mutual consent. In the meantime, the two sides also signed a Memorandum of Understanding (MOU) on establishing RMB clearing arrangements in Turkey.

The arrangements mark a new stage in financial cooperation between China and Turkey, which will help enterprises and financial institutions of both countries use local currencies for cross-border settlements and further facilitate bilateral trade and investment.