People's Bank of China and Bank of Indonesia sign "Memorandum of Understanding on Establishing a Framework for Promoting Bilateral Currency Settlement Cooperation"

On May 25, 2025, under the joint witness of Chinese Premier Li Keqiang and Indonesian President Prabowo Subianto, the Governor of the People's Bank of China, Pan Gongsheng, and the Governor of the Bank of Indonesia, Perry Warjiyo, signed the "Memorandum of Understanding on Establishing a Framework for Promoting Bilateral Currency Settlement Cooperation between the People's Bank of China and the Bank of Indonesia." This memorandum of understanding is an expansion and upgrade of the "Memorandum of Understanding on Establishing a Framework for Promoting Bilateral Currency Settlement Cooperation in Facilitating Current Account Transactions and Direct Investment" signed by both parties on September 30, 2020. It expands the scope of bilateral currency settlement cooperation from current account transactions and direct investment to include all transactions in capital and financial accounts, promotes payment connectivity within the limits permitted by the laws and regulations of both countries, further promotes the use of local currencies in bilateral trade and investment, and enhances cooperation between the two countries' currency and financial markets.