RBI, Sri Lankan central bank ink deal for currency swaps worth USD 1.5-billion

The Reserve Bank of India (RBI) has entered a $1.5-billion currency swap agreement with the central bank of Sri Lanka, Prime Minister Narendra Modi said on Friday after meeting Sri Lankan President Maithripala Sirisena.

"This will help keep the Sri Lankan rupee stable," Modi told reporters.

Sri Lanka rupee has been under pressure since early January and fallen around 1.5 per cent so far in 2015 despite the Sri Lankan central bank's attempt to defend it by selling dollars.

(Reuters)