What are the arrangements under which national central banks negotiate to exchange each other's currency to be used to intervene in foreign exchange markets to combat international hot money flows?

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The arrangements under which national central banks negotiate to exchange each other's currency to be used to intervene in foreign exchange markets to combat international hot money flows are referred to as Swap arrangements. Swap arrangements allow central banks to acquire foreign currency in exchange for their own currency, therefore, helping to stabilize the foreign exchange market by mitigating currency fluctuations. Examples of such arrangements include the Federal Reserve's swap lines with other central banks during times of financial crisis.

What Are the Arrangements Under Which National Central Banks Negotiate