Sufmi Dasco Appreciates Bank Indonesia's Move to Strengthen Rupiah Exchange Rate

Deputy Speaker of the House of Representatives (DPR RI) Sufmi Dasco Ahmad has commended Bank Indonesia’s (BI) strategic move to strengthen the rupiah exchange rate through financial cooperation with China. According to Dasco, the policy represents a concrete effort to reduce dependence on the United States dollar in international trade transactions. The appreciation was conveyed following the signing of a Bilateral Currency Swap Arrangement (BCSA) between Bank Indonesia Governor Perry Warjiyo and People’s Bank of China (PBOC) Governor Pan Gongsheng in Shanghai, China, on Thursday, 11 June 2026. According to Dasco, the agreement opens opportunities for Indonesian, mainland Chinese, and Hong Kong businesses to transact using local currencies, namely the rupiah and renminbi, without relying on the US dollar. “This agreement enables transactions between Indonesia, mainland China, and Hong Kong to be conducted using rupiah or renminbi without depending on the United States dollar,” Dasco said in a statement in Jakarta on Sunday, 14 June 2026. Besides the BCSA, Bank Indonesia, together with the PBOC and the Hong Kong Monetary Authority (HKMA), also signed a Memorandum of Understanding (MoU) on Local Currency Transaction (LCT), which has now been expanded to cover Hong Kong. The MoU signing also involved HKMA Chief Executive Eddie Yue. Dasco assessed that expanding this cooperation is an important step in strengthening the use of local currencies in cross-border transactions while increasing the efficiency of trade and investment between Indonesia and its trading partners. Furthermore, the cooperation also includes the implementation of cross-border QRIS between Indonesia and China. Through this system, payment transactions between businesses and citizens of both countries can be conducted more easily using QRIS. “The MoU also agreed upon cross-border QRIS between Indonesia and China, so that transactions between Chinese and Indonesian entrepreneurs can use the inter-country QRIS,” Dasco said. He explained that the cross-border QRIS system currently involves 191 service providers in China and 24 service providers in Indonesia, all connected within a single digital payment ecosystem. According to Dasco, the benefits of this cooperation will be increasingly felt given the high value of trade between Indonesia and China. In 2025, the total trade value between the two countries was recorded at USD 154.5 billion, meaning the use of the LCT scheme could potentially reduce the need for US dollars in export-import transactions. “With the agreement signed between Bank Indonesia and the People’s Bank of China, Indonesia’s export-import transactions with China, which reached USD 154.5 billion in 2025, can use LCT, namely rupiah and renminbi, without depending on the United States dollar anymore,” he stated. Dasco stressed that the steps taken by Bank Indonesia demonstrate the seriousness of the government and monetary authorities in strengthening the rupiah’s position amid global economic dynamics. Besides increasing transaction efficiency, the use of local currencies is also considered capable of helping reduce exchange rate fluctuation risks originating from US dollar movements. “This is a very serious effort to reduce the need for United States dollars in trade transactions, including the use of cross-border QRIS between Indonesia and China. This is being undertaken by Bank Indonesia to strengthen the rupiah,” Dasco said. Through these various initiatives, Bank Indonesia is expected to continue expanding the use of local currencies in international trade and strengthen the stability of the national financial system amid global economic uncertainty.