Hutahaean, Olyvia
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Analisis Faktor Yang Memengaruhi Penggunaan Mata Uang Lokal Dalam Perdagangan Antara Indonesia, Malaysia, Dan Thailand Makarim, Moch. Amil Labib; Putri Ardaneswari, Aretha; Hutahaean, Olyvia
Jurnal Pajak dan Keuangan Negara (PKN) Vol 6 No 1 (2024): Jurnal Pajak dan Keuangan Negara : September 2024
Publisher : Politeknik Keuangan Negara STAN

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.31092/jpkn.v6i1.2591

Abstract

The Local Currency Settlement (LCS) is widely used in trade between countries in the ASEAN region. However, not all collaborations use this method. This research will analyze several factors that influence the LCS by using qualitative methods. The research was localized in three countries: Indonesia, Malaysia, and Thailand. The results show that there are influencing factors such as dollarization effects, and economic and political benefits for countries implementing LCS. It turns out that the LCS also has shortcomings, such as no guarantee of political stability between cooperating countries and an unavoidable trade balance deficit. The advantages and disadvantages of LCS are proportional to its application. There needs to be increased cooperation between countries implementing LCS and stricter regulations to minimize potential losses in the transactions.