JAKARTA - Today (5/11), Bank Indonesia (BI) and the Monetary Authority of Singapore (MAS) signed the agreement to extend their US$10 billion bilateral financial cooperation until next year.
Onny Widjanarko, head of the Communication Department of BI, said that the cooperation consists of two agreements; local currency bilateral swap agreement (LCBSA) and the bilateral repo agreement (BRL). "The extension of this cooperation shows Indonesia and Singapore's commitment to support each other in building mutual trust amid the COVID-19 pandemic," he said in a press release.
He explained that the LCBSA agreement allows the exchange of local currencies between the two central banks of up to SG$9.5 billion (Rp100 trillion). Meanwhile, the BRL agreement allows for a repo transaction between the two central banks of up to US$3 billion with government bonds issued by the United States, Japan, and Germany (G3 countries) as guarantee. (LK/AR)