During the meeting in Tehran on Monday, Central Bank of Iran (CBI) Deputy for Foreign Exchange Affairs Seyed Ahmad Araqchi and Vice Governor of the Central Bank of Turkey Murat Uysal called for expanding economic and trade ties for facilitating banking relations.
"The currency swap agreement [recently signed between Iran and Turkey is one of the measures by the central banks of both countries to continue and increase cooperation and is expected to be implemented as soon as the infrastructures are set in place," Araqchi said.
In a relevant development on October 20, following several rounds of negotiations between Iranian and Turkish officials, the governors of the two countries' central banks announced that the final agreement for conducting bilateral trade in local currencies has been signed.
Based on the agreement, the two banks allocated a credit of 5 billion lira ($1.32 billion) and its equivalent in rial to their respective agent banks, namely Bank Melli Iran and Ziraat Bank, to be used as letters of credit with a repayment period of one year for both countries' traders.