China and Japan has renewed their currency swap agreement, according to a statement released by the People's Bank of China.

China's central bank governor Zhou Xiaochuan and Bank of Japan governor Toshihiko Fukui signed the agreement in Tokyo on Sept. 20.

The agreement was sponsored in 2002 as part of the Chiang Mai agreement to head off a repeat of Asia's 1997/98 financial crisis.

Under the Chiang Mai accord, named after the northern Thai resort town where it was signed, regional central banks agreed to make hard currency available to fend off speculative attacks.

The agreement had played an important role in strengthening regional financial cooperation in East Asia, maintaining regional financial market stability and promoting East Asian economic development, said the statement.

Zhou and Toshihiko Fukui also exchanged views on the two country's latest economic and financial situation, global financial problems and other topics of mutual interest, according to the statement.