The central banks of Qatar and Turkey have signed a currency swap agreement in the Qatari capital Doha.
According to sources from the Turkish central bank, the first step has been taken after Qatar pledged $15 billion of investment package in Turkey last Wednesday.
The agreement aims to enhance bilateral cooperation between the two banks by setting a two-way currency exchange line.
It will provide liquidity and support for financial stability, along with facilitating exchange of trade between Turkey and Qatar.
The agreement will also contribute to the enrichment of reserves of both countries.
The funding for the first phase of the deal is expected to be worth $3 billion.
Qatar’s Emir Sheikh Tamim bin Hamad Al-Thani visited Turkey this month and approved a package of economic projects, investments and deposits for Turkey, giving a boost to the battered lira currency, which has been hit by a widening currency crisis.