- Mar. 17, 2022
- Feb. 28, 2022
- Jan. 4, 2022
The purpose of the agreement is to obtain pound sterling (GBP), which is to be provided to financial institutions for the time being by the Bank of Japan (BoJ), to ensure the smooth functioning and stability of financial markets.
The Bank of England (BOE) and the BoJ
The BoJ sells yen to the BOE to purchase GBP from the BOE by means of a spot transaction, with a simultaneous agreement by the BoJ to sell GBP to the BOE and to purchase yen from the BOE on the maturity date of such swap transaction by means of a forward transaction.