Japan agrees to expand currency swap deals with Indonesia, Philippines

TOKYO (Xinhua) - The Japanese government today agreed to expand its currency swap deals with Indonesia and the Philippines while maintaining the arrangement with Singapore so as to help stabilize financial markets in Asia.

The expansion of the currency deals with the countries, major economies in the Association of Southeast Asian Nations (ASEAN), would help strengthen their emergency response abilities in the case of financial crisis, said the Japanese Finance Ministry.

Japan will raise $12 billion currency swap with Indonesia to $22.76 billion and raise the deals with the Philippines to $12 billion, said the ministry, adding the country will maintain 3 billion swap deal with Singapore.

Japan's Finance Minister Taro Aso said that currency stabilization in the three countries would contribute to Japan's interests, according to local media.

The agreement came ahead of a special summit, which will kick off today evening to commemorating 40th anniversary of ties between Japans and ASEAN.