Durian. Governors of Indonesian Central Bank and People’s Bank of China have signed an agreement on Sept. 30 on local currency settlement (LSC) which will allow bilateral trade transactions between the two countries’ entities using local currencies – Indonesian Rupiah (IDR) and Chinese Renminbi (CNY).
Besides China, Indonesia has previously signed LCS agreements with Bank of Thailand, Bank Negara Malasya and Japanese Finance Ministry, Indonesian Central Bank said in a statement on Sept.30.
“People’s Bank of China and Bank Indonesia agreed to support the using of local currencies in trade and direct investment transactions,” the statement said.
The two central banks will also enlarge the cooperation through sharing information and discussions periodically.
