BEIJING - China's central bank extended a currency swap deal with the European Union on Tuesday, marking a major step in strengthening bilateral financial cooperation.

The deal, signed between the People's Bank of China (PBOC) and the European Central Bank, is worth 350 billion yuan ($52 billion) and will last for three years until Oct 8, 2019, the PBOC said in a statement on its website.

The move is aimed at facilitating bilateral trade and investment and providing more liquidity to financial markets on both sides, the PBOC said.

The previous currency swap deal between the two central banks, also worth 350 billion yuan, was signed in 2013.