Core Viewpoint - The People's Bank of China and Bank Indonesia have jointly launched a bilateral local currency settlement (LCT) framework and a cross-border QR code interoperability project, marking a significant advancement in financial cooperation between the two countries [1][4]. Group 1: Bilateral Cooperation Framework - The LCT framework was officially announced by the central bank governors of both countries, expanding the scope of local currency settlement to cover all items in the balance of payments, facilitating the use of local currencies in bilateral trade and investment [4][6]. - The LCT framework aims to enhance financial system connectivity and security, reflecting the deepening political trust and economic ties between China and Indonesia [6][8]. Group 2: Financial Statistics and Future Plans - From January to July 2025, the local currency settlement scale under the LCT framework reached $6.23 billion, accounting for 45% of Indonesia's total local currency settlements with all trade partners [8]. - A joint working mechanism between the two central banks will be established to further institutionalize bilateral cooperation and promote financial collaboration [8][10]. Group 3: Previous Agreements and Developments - The recent memorandum of understanding expands the previous agreement signed in 2020, broadening local currency settlement cooperation from current account and direct investment to include capital and financial accounts [10]. - A bilateral currency swap agreement was renewed with a scale of 400 billion RMB / 878 trillion Indonesian Rupiah, effective for five years, aimed at enhancing monetary cooperation and facilitating bilateral trade [10].