Bank of Indonesia and the People's Bank of China have signed a memorandum of understanding establishing an expanded cooperation framework to promote bilateral transactions in local currencies, upgrading their 2020 arrangement. The updated MoU extends the scope of local currency settlement cooperation from current account transactions and direct investment to all transactions, including capital and financial accounts. The framework is intended to support broader payment connectivity, encourage wider use of local currencies in bilateral transactions and investment, and strengthen cooperation in monetary and financial markets.
Bank of Indonesia 2025-05-25
Bank of Indonesia and the People's Bank of China sign upgraded MoU to broaden local currency settlements to all bilateral transactions
Bank of Indonesia and the People's Bank of China have signed an updated memorandum of understanding to enhance bilateral transactions in local currencies. The expanded framework now includes all transactions, covering capital and financial accounts, to boost payment connectivity and local currency usage.