FINANCE

China, South Korea Renew 400 Billion Yuan Currency Swap Deal

Published: Nov. 3, 2025 6:42 p.m. GMT+8

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The People's Bank of China. Photo: VCG

China’s central bank and its South Korean counterpart have renewed their bilateral currency swap agreement for a fifth time, maintaining the size at 400 billion yuan ($56 billion) or 70 trillion won ($50 billion) for another five years.

The agreement aims to deepen monetary and financial cooperation between the two countries, facilitate bilateral trade, and maintain financial market stability, the People’s Bank of China (PBOC) said in a statement Monday.

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China and South Korea renewed their bilateral currency swap for five years, maintaining 400 billion yuan ($56 billion) or 70 trillion won ($50 billion).
The agreement supports trade, monetary cooperation, and yuan internationalization while allowing direct currency exchange.
As of June 30, the PBOC had 32 swap agreements totaling over 4.5 trillion yuan, with 80.7 billion yuan drawn by foreign counterparts.

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What Happened When

2009：: The China-South Korea currency swap line was first established with a value of 180 billion yuan.

2020：: The agreement’s size and duration were expanded during the fourth renewal, setting the scale at 400 billion yuan and the term at five years.

By June 30, 2025：: The PBOC had 32 active swap agreements with offshore central banks and monetary authorities, worth more than 4.5 trillion yuan. Foreign counterparts had drawn down 80.7 billion yuan from these facilities.

November 3, 2025：: The People’s Bank of China and the Bank of Korea renewed their bilateral currency swap agreement for a fifth time, maintaining the size at 400 billion yuan or 70 trillion won for another five years.

AI generated, for reference only