TEMPO.CO, Jakarta - Bank Indonesia and the Reserve Bank of Australia (RBA) have agreed to renew their Bilateral Currency Swap Arrangement (BCSA).

The agreement was signed by BI Governor Perry Warjiyo and RBA Governor Michele Bullock and is effective from March 4, 2025, for a period of five years.

The deal allows for the exchange of local currencies between the two central banks, with a value of up to AU$10 billion or approximately US$6.2 billion, with the equivalent value in Rupiah.

In its official release, BI stated that the renewal of this deal reaffirms the commitment of both central banks to promote bilateral trade and investment in support of the economic development of Indonesia and Australia.

Additionally, this agreement is expected to contribute to the financial stability of both countries.

BI emphasized that the move is part of international cooperation in the framework of the central bank policy mix, in line with the efforts to maintain external sector resilience within the framework of Asta Cita. The agreement was first in place in December 2015.

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