People's Bank of China and BCRA Renew Active Tranche of Yuan-Peso Currency Swap to July 2026

The People's Bank of China and the Banco Central de la República Argentina (BCRA) have renewed the active tranche of their bilateral currency swap agreement, extending the arrangement through to July 2026. The renewal was confirmed on 12 June 2024, maintaining Argentina's access to yuan-denominated liquidity. The BCRA published confirmation of the extension on its website, noting the continuation of the active tranche under the bilateral agreement with China's central bank.

The currency swap arrangement allows Argentina to access Chinese yuan, which the BCRA can deploy to meet external obligations and support its reserve management operations.

PHASED WIND-DOWN TO MID-2026

The extension of the active tranche through to July 2026 gives the BCRA a defined timetable for repaying the yuan already drawn, keeping the full amount in place for 12 months before a gradual wind-down.

The BCRA's announcement put the activated tranche at RMB 35 billion (equivalent to about USD 5 billion), renewed in full for 12 months, after which the BCRA will gradually reduce the amount drawn over the following 12 months until the tranche is fully deactivated by mid-2026.