Indonesia has enough power to carry out a de-dollarization campaign in ASEAN. With its economic strength, this plan is starting to become a reality. This plan is likely to be carried out during the Asean Summit meeting.

ASEAN is a high-trade trading market, and export-import activities are busy. And this is also what makes ASEAN known globally. The large number of export-import activities is also due to their resources and strategic location.

Practically, countries that want to head to the southern part of the world inevitably pass through the ASEAN area. And this also makes the possibility for ASEAN to carry out strategic policies. The widespread use of the US Dollar is likely a further strategic aspect.

Because of this extensive trade activity, ASEAN could release dollars for transaction activities. Indonesia sees this as an ample opportunity and will propose and call for this de-dollarization campaign at the ASAN Summit which will be held on 9-11 May 2023.

Indonesia has the Power to Become a Driving Fforce for de-Dollarization in ASEAN

In that high-level conference, Indonesia may become a country that calls for activities to leave the Dollar for export-import activities between ASEAN countries. The Coordinating Minister for the Economic Affairs of Indonesia, Airlangga Hartanto, also has his strategy.

Airlangga Hartanto said that to help realize leaving US dollars is to use the local currency or digital payment instruments. This will also be conveyed to ASEAN countries carrying out export-import activities.

To date, 5 ASEAN countries have stated their commitment to conducting digital transactions without dollars, including Thailand, Malaysia, Singapore, the Philippines, and Indonesia. Airlangga Hartanto is also confident that this will gradually reach all countries in ASEAN.

"This will take place gradually. ASEAN has ten countries; five countries have agreed, while others have their reasons. Thailand due to elections that will take place soon and others are under discussion," he said.

Indonesia itself has great potential to become a de-dollarization drive because it is the largest economy in ASEAN. Indonesia's strength and position as a leader in ASEAN 2023 is the right momentum to shape decisions in the region.

The process of replacing the US dollar in Asean is also widely discussed because the countries members of the BRICS agreement leave the Dollar in trade transactions. These countries consist of Brazil, Russia, India, China, South Africa, and, most recently, Argentina.

"Through the ASEAN Summit in NTT, Indonesia can initiate the de-dollarization pattern so that agreements can take place and be built more comprehensively," said Apindo Economic Policy Analyst Committee Chair Ajib Hamdani

He said it in a presentation on the latest ASEAN and global market news. The concept of Local Currency Transaction (LCT) is what makes dependence on the US Dollar become tenuous. 

Now, countries in ASEAN can help maintain stability while conducting regional trade. De-dollarization navigation in this region is also increasingly being discussed.

Along with the Busy De-Dolarization Campaign, These 5 Currencies Have the Greatest Potential to be used in International Transactions.

In discussing this de-dollarization process, it is clear that countries need a strategy to do this. Any discourse on de-dollarization must have a replacement currency.

The Chinese Yuan is the most likely currency to replace the Dollar. Most recently, the Chinese Yuan has become the currency with the most significant number of uses for export and import.

Especially since China is the world's largest exporter and one of the world's most important importers. The Euro, Indian Rupee, and local ASEAN currencies also have great potential.

With the news of de-dollarization currently being found, Indonesia itself started earlier. Indonesia began to replace international trade currency with local currency. Indonesia still needs to invite ASEAN to help this process in the region to make it more comprehensive.