Thailand, Indonesia, Malaysia to use local currency in trade

According to media reports, the central banks of Thailand, Indonesia and Malaysia agreed on using their local currencies in their trade and investments in order to reduce transaction costs and the effects of the volatility of the global markets on their economies.

The banks said this move will also support more use of local currencies in the Asian Economic Community enabling more economic integration and will help improve the foreign exchange and money markets in the region, the reports revealed.

Previously, similar agreements were made between Egypt and China, Iran and Russia as well as Turkey and China to improve their bilateral trade and economies.