The Croatian National Bank (CNB) has agreed upon establishing a precautionary currency swap line with the European Central Bank (ECB), to be activated if needed. The currency swap line allows for the exchange of the kuna for the euro in the amount of EUR 2bn. This swap line gives the CNB the space to provide additional euro liquidity to Croatian financial institutions, should they need it, without using its own international reserves. The CNB will notify the ECB of the use of euro liquidity acquired through the currency swap line. The currency swap line will remain in place until 31 December 2020, and can be extended if necessary.
