The agreement of a currency swap between Argentina's peso and China's yuan, worth US$10.2 billion, was available, the Central Bank of Argentina (BCRA) said on Thursday.

BCRA director Arnaldo Bocco said an agreement was formalized on Wednesday on currency exchange with China, worth 70 billion yuan or 38 billion Argentine pesos (some US$10.2 billion), which will boost the liquidity of the reserves of both countries.

Bocco said that BCRA also stipulated on Thursday a swap system of interest rates, through an auction of 200 million pesos (around US$50 million) with the participation of financial institutions in the local market.

Bocco said that the agreement Argentina previously signed with Brazil to use pesos and reais for bilateral commerce, instead of the dollar, was on good path, despite some postponement because it is relatively new.

(Xinhua News Agency April 17, 2009)