Brazil, China agree $30 bln currency swap deal
2012-06-22 11:47:03
Brazil and China have agreed on a $30 billion currency swap deal, Brazilian Finance Minister Guido Mantega said Thursday.
The agreement is part of a bilateral trade deal between the two emerging economies and was announced after a meeting between Brazilian President Dilma Rousseff and Chinese Prime Minister Wen Jiabao, on the sidelines of the Rio+20. The agreement will be formally signed next week, Mantega said. He said Brazil and China have agreed on a ten-year plan of cooperation. Both the countries have pledged to strengthen their relationship to become strategic global partners.
The BRICS nations-- Brazil, Russia, India, China and South Africa - have agreed to initiate discussions on the possibility of holding currency swaps within the group and also on pooling reserves, the Minister said.
Together, the BRICS have the largest international reserves in the world, amounting to $ 4.5 trillion, he added.