Seoul: Travelers moving between South Korea and Indonesia will be able to make payments without exchanging currencies using a QR code-based payment system starting April, Seoul's central bank said Thursday. The cross-border QR payment service will become available at stores in both countries beginning April, as the two central banks have worked to establish a local currency transaction (LCT) framework following the signing of a memorandum of understanding (MOU) in July 2024.

According to Yonhap News Agency, the system is expected to reduce foreign exchange and transaction fee burdens, thereby facilitating bilateral exchanges and cooperation across a wide range of sectors, including trade, tourism, and consumption. The Bank of Korea (BOK) stated this initiative in a formal announcement.

BOK Gov. Rhee Chang-yong and Bank Indonesia Gov. Perry Warjiyo reviewed the progress on the service interlinkage during a meeting in Seoul earlier in the day and agreed to maintain close cooperation going forward. The BOK plans to expand its use to online payment environments down the road, while pushing to extend the QR-based payment system to other countries of the Association of Southeast Asian Nations.