Manama: The central banks of Bahrain and the United Arab Emirates announced the establishment of a currency swap agreement between the Bahraini dinar (BHD) and the UAE dirham (AED), signed during a virtual ceremony. The agreement has a nominal value of BHD 2 billion (AED 20 billion) and a term of five years.

According to Qatar News Agency, the agreement was signed by UAE Central Bank Governor Khaled Mohamed Balama and Bahrain Central Bank Governor Khalid Humaidan. It aims to strengthen financial and monetary cooperation between the two countries.

UAE Central Bank Governor Khaled Mohamed Balama stated that the agreement supports efforts to expand cooperation, strengthen trade and investment ties, and promote the use of local currencies, contributing to financial stability and broader partnerships.

Bahrain Central Bank Governor Khalid Humaidan highlighted that the agreement reflects the longstanding ties between the two countries and supports further cooperation between the two central banks, noting its role in enhancing financial integration and supporting economic growth.