The Hong Kong Monetary Authority, Bank Indonesia and the People’s Bank of China have signed a memorandum of understanding establishing a cooperation framework to promote bilateral transactions in Indonesian rupiah and offshore Chinese renminbi between Indonesia and Hong Kong. The arrangement will introduce a bilateral currency transaction framework to support the direct exchange and settlement of IDR and CNH for cross-border trade and investment activities among corporates and institutions in the two markets. Bank Indonesia and the Hong Kong Monetary Authority will lead the preparatory work, including development of operational guidelines. They will also identify and appoint selected banks in Indonesia and Hong Kong as Appointed Cross Currency Dealers to participate in the framework. The initiative is intended to improve the efficiency of cross-border transactions and increase the use of regional currencies. Further details on operational procedures, timelines and participating banks are expected later this year.
Hong Kong Monetary Authority2026-06-11
Hong Kong Monetary Authority signs MoU to establish Indonesia Hong Kong IDR CNH bilateral transaction framework
The Hong Kong Monetary Authority, Bank Indonesia and the People’s Bank of China signed an MoU to create a framework for direct IDR and CNH exchange and settlement between Indonesia and Hong Kong. Bank Indonesia and the Hong Kong Monetary Authority will prepare operational guidelines and appoint selected participating banks. Further details are expected later this year.