BI-MAS Boost Rupiah-Singapore Dollar Transactions, 12 ACCD Banks Appointed
Bank Indonesia (BI) and the Monetary Authority of Singapore (MAS) announced the operationalisation of a bilateral transaction settlement framework between Indonesia and Singapore using each country’s local currency (Local Currency Transaction/LCT) today, Monday (31/8/2026).
This announcement is a follow-up to the Memorandum of Understanding signed in August 2022 and the Operational Guidelines agreed by the two central banks in April 2026. The agreement was subsequently set out in Board of Governors Regulation Number 25 of 2026 concerning Bilateral Transaction Settlement between Indonesia and Singapore using Rupiah and Singapore Dollars through Banks, as a guideline for implementing LCT transactions.
“This LCT framework will support bilateral trade while strengthening ASEAN financial integration through the wider use of local currencies in intra-ASEAN transactions,” wrote the joint announcement from BI and MAS, Monday (31/8/2026).
Under this framework, banks appointed as Appointed Cross Currency Dealers (ACCD) in Indonesia and Singapore can facilitate the settlement of current account transactions, direct investment transactions, and cross-border payments using local currencies.
This is expected to provide greater flexibility for businesses and other users in transacting using local currencies, while reducing exchange rate risk and transaction costs. Key features of the LCT framework include the use of direct quotations of the Rupiah against the Singapore Dollar, as well as relaxation of related provisions and arrangements to encourage the use of local currencies.
BI and MAS have appointed a number of ACCD banks in Indonesia and Singapore that will cooperate in facilitating LCT transactions in Rupiah-Singapore Dollar currencies.
ACCD banks in Indonesia:
PT Bank Central Asia Tbk
PT Bank CIMB Niaga Tbk
PT Bank DBS Indonesia
PT Bank Mandiri (Persero) Tbk
PT Bank Maybank Indonesia Tbk
PT Bank Negara Indonesia Tbk
PT Bank OCBC NISP Tbk
PT Bank Pembangunan Daerah Jawa Timur Tbk
PT Bank UOB Indonesia
ACCD banks in Singapore:
DBS Bank Ltd.
Oversea-Chinese Banking Corporation Limited
United Overseas Bank Limited