Japan, Malaysia renew BSA up to US$3 bln

KUALA LUMPUR, Sept 19: Japan and Malaysia on Monday renewed their Bilateral Swap Arrangement1 (BSA) effective Sept 18, 2023, a statement from Bank Negara Malaysia today said.

The Bank of Japan (BOJ), acting as agent for the Minister of Finance of Japan, and Bank Negara Malaysia (BNM) renewed the BSA of up to USD3 billion. The signed Amendment and Restatement Agreement follows the BSA signed in 2020.

The renewed BSA incorporates the recent amendments to the Chiang Mai Initiative Multilateralisation (CMIM) Agreement, which is a regional financing arrangement among the Finance Ministers and Central Bank Governors of the ASEAN member states, China, Japan and Korea (ASEAN+3) and the Monetary Authority of Hong Kong, China.

Japan and Malaysia agree that the BSA will further deepen financial cooperation between the two countries and enhance regional financial stability, the central bank statement said.