Search results for: “Swap arrangement/”

An agreement between central banks to lend each other prearranged sums of each other's currency. This arrangement is designed to permit a central bank to intervene in the foreign exchange market so as to retard speculative pressures on its currency. Such agreements are generally bilateral and us…

An agreement between central banks to lend each other prearranged sums of each other's currency. This arrangement is designed to permit a central bank to intervene in the foreign exchange market so as to retard speculative pressures on its currency. Such agreements are generally bilateral and us…