KUALA LUMPUR (Sept 19): Malaysia and Japan have renewed the Bilateral Swap Arrangement1 (BSA) effective September 18, 2023.

"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 US$3 billion (RM14 billion)," said the central banks in a joint statement on Tuesday.

The signed Amendment and Restatement Agreement follows the BSA signed in 2020, they added.

The renewed BSA incorporates the recent amendments to the Chiang Mai Initiative Multilateralisation (CMIM) Agreement, read the statement.

"Japan and Malaysia agree that the BSA will further deepen financial cooperation between the two countries and enhance regional financial stability," it added.