Indonesia and South Korea strengthen cross-border payments connectivity

Gloria Mathias

Bank Indonesia (BI) and the Bank of Korea (BoK) have reached a milestone by signing a Memorandum of Understanding (MoU) to promote cross-border payments in the two countries.

The MOU, which reflects the implementation of the Bilateral Agreement on Central Bank Cooperation for 2022, was signed by BI Governor Perry Warjiyo and Bank of Korea Governor Lee Chang-yong.

The MOU aims to accelerate closer cooperation on cross-border payments interoperability. BI and BoK also aim to establish a framework for facilitating cross-border payments connectivity between the two countries. The MOU will serve as a foundation for both countries to implement cross-border payments with industry players in their respective countries.

The implementation of this MOU will support cross-border trade between the two countries, promote digital economies and finance in Indonesia and South Korea, and greatly benefit the tourism sector, especially considering the large number of tourists traveling between the two countries. This cooperation will strengthen the economies of both countries, especially in the tourism sector.

“This MOU is a testament to the continued efforts of BI and the Bank of Korea and is expected to make cross-border payments between Indonesia and Korea cheaper, faster, more inclusive and more transparent. More importantly, it will play a pivotal role in promoting the digital economy and finance in both countries, marking a significant step towards a more interconnected and efficient financial environment.”