MALAYSIA: Local Currency Settlement Framework with Thailand Expanded

As of 1 December 2021, the Malaysian ringgit-Thai baht settlement framework will be made available to a wider range of users, while additional foreign exchange policy flexibilities will also be incorporated. According to a joint statement from the Bank Negara Malaysia (BNM) and the Bank of Thailand (BOT), this will facilitate a broader use of local currencies for trade settlement and direct investment between Malaysia and Thailand by both Malaysians residing in Thailand and Thais residing in Malaysia. 

As a part of the change, Malaysia has added HSBC Bank Malaysia Bhd and Standard Chartered Bank Malaysia Bhd to its list of duly-accredited banks, while Thailand has added the Hong Kong and Shanghai Banking Corporation‘s Bangkok Branch and Standard Chartered Bank (Thai) PCL.