Local Turkey

Turkey’s central bank adds South Korean won to traded currencies list

The South Korean won was added to the foreign currencies traded by the Central Bank of the Republic of Turkey (CBRT) with the circular published in the Official Gazette Friday.

The central bank signed a swap agreement with the Bank of Korea (BOK) last week for $2 billion.

The $2 billion agreement will enable the BOK to provide the South Korean won to Turkey and for the CBRT to provide the Turkish lira to financial institutions in South Korea.

It was signed by CBRT Governor Şahap Kavcıoğlu and his South Korean counterpart Lee Ju-yeol, aiming to boost bilateral trade through a swap-financed trade settlement facility and promote financial cooperation for the economic development of both sides.

The swap agreement between the two countries’ central banks covers a sum of 2.3 trillion won (TL 17.5 billion).

Turkey last year actively conducted talks to establish swap lines with many countries, including the U.S., Japan,Malaysia and India.

The country first signed a swap agreement with China in 2012 and subsequent deals have allowed Turkish companies to pay for imports from China using the Chinese yuan.


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