Indonesia’s Gold-Backed Approach to Currency Resilience: Bullion Banking Explained.
Indonesia has launched bullion banking through state-owned institutions, PT Bank Syariah Indonesia and PT Pegadaian, to stabilize foreign exchange and integrate domestic gold holdings into the formal financial system.
President Prabowo Subianto aims to retain locally produced gold, reduce reliance on foreign exchange, and encourage citizens to deposit their gold in vaults, thus strengthening monetary stability. The government intends to expand the number of licensed institutions, capitalizing on Indonesia’s position as a major gold producer, and offer gold-based financial instruments to attract the estimated 1,800 tons of privately held gold.
Clever Robot News Desk 1st March 2025
