BEIJING, May 28 -- The People's Bank of China (PBOC), the country's central bank, has renewed and expanded a bilateral currency swap agreement with the National Bank of Serbia, the central bank of Serbia.

The value of the swap deal has been increased from the original 1.5 billion yuan (about 220 million U.S. dollars) to 5 billion yuan, the PBOC said in a statement on Thursday.

The agreement is valid for five years and can be renewed upon mutual consent, according to the statement.

The renewal and expansion of the currency swap agreement will help enhance monetary and financial cooperation between the two countries, facilitate bilateral trade and investment, and maintain financial market stability, the statement added.