South Korea: Exchange swap contract with US Fed: 6 months (short term)
Seoul
March 24, 2020
South Korea: Central Bank
South Korea announced on March 19 that it will “conclude a US $ 60 billion bilateral foreign exchange swap agreement.”
Permanent partner countries:
The US Federal Reserve has permanent exchange swap agreements with central banks in five countries and regions.
Bank of Canada,
Bank of England,
Bank of Japan,
European Central Bank (ECB),
Swiss National Bank
This agreement:
In addition to the above, short-term foreign exchange swap contracts have been added for the purpose of eliminating dollar funding / tightening in each country.
However, the deadline is at least 6 months (until September 19)
US Fed: Additional Partners
South Korea,
Denmark,
Norway,
Sweden,
Australia,
new Zealand,
Brazil,
Mexico’s central banks,
Singapore Financial Management Authority
Bank of South Korea:
The aim is to supply the US dollar raised through exchange swap contracts to the market immediately and prevent the sharp depreciation of the won / dollar.
We expect the domestic exchange market to stabilize.
also stated that we will continue efforts to stabilize financial markets through cooperation with central banks of major countries.
-JETRO
https://www.jetro.go.jp/biznews/2020/03/b4164a2da0e5b9a5.html