Vietnam’s Central Bank signed an agreement to establish a cross-border payments mechanism between five Southeast Asian (ASEAN) countries including Indonesia, Thailand, Malaysia, Singapore, and the Philippines on Friday, 25 August 2023.
These countries will connect their payment system via using the QR (quick response) code system for retail transactions.
According to Reuters, Indonesia, Malaysia and Thailand have agreed to later facilitate cross-border transactions for financial assets like equities and government bonds in local currencies as well.
The cross-border payments agreement was discussed and made happen during the recent meeting of the 10-member Association of Southeast Asian Nations (ASEAN) finance ministers and central bank governors in Jakarta, Indonesia.
