Indonesia and Malaysia renewed their Local Currency Bilateral Swap Agreement (LCBSA) for five years on September 27.

On September 27, Indonesia and Malaysia renewed their Local Currency Bilateral Swap Agreement (LCBSA) for five years, allowing up to 82 trillion Indonesian rupiahs (about $5.42 billion) or 24 billion Malaysian ringgits. This agreement enhances monetary stability and financial cooperation, enabling liquidity support between the central banks during financial stress. It also fosters local currency transactions and covers macroeconomic policy discussions, including digitalization and Islamic finance strategies.

September 27, 2024
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