ISLAMABAD – President Asif Ali Zardari proposed a currency swap arrangement between Pakistan and Sri Lanka in a meeting on proposed currency swap arrangements with friendly countries here at Aiwan-e-Sadr on Thursday, in order to reduce pressure on the foreign exchange reserves of both countries. The president urged swift finalisation of the currency swap agreement between Pakistan and China, saying that such arrangements should be concluded with Turkey and Sri Lanka to promote and facilitate bilateral trade with these countries.
He said the Turkish prime minister, during his visit to Pakistan in October 2010, had welcomed currency swap arrangements with Pakistan. President’s Spokesman Farhatullah Babar told reporters that State Bank Governor Shahid Kardar gave a detailed briefing on the progress made so far regarding currency swap arrangements between the People’s Bank of China and the State Bank. He said the proposed arrangement was being examined from a legal perspective.
He said Turkish authorities had responded positively towards considering a similar arrangement with Pakistan and a high level delegation from Pakistan had recently visited Sri Lanka and met the governor of State Bank of Sri Lanka and the Sri Lankan finance secretary to discuss broadening economic cooperation between the two countries.
Foreign Affairs Minister Hina Rabbani Khar, Board of Investment Chairman Saleem H Mandviwala, All-Pakistan Textile Mills Association Chairman Gohar Ejaz, Pakistan Business Council Chairman Asad Omar and senior government officials also attended the meeting.
