It takes courage to speak openly, and Malaysian Prime Minister Anwar Ibrahim has done just that. He stated clearly that the trend toward de-dollarization is irreversible. On October 25, Prime Minister Anwar Ibrahim said: "Within ASEAN, we have also experimented with alternative financial settlement systems. We have already begun using our own currencies. We have not yet discussed full de-dollarization—this remains a long road ahead. But we have started: Malaysia is collaborating with Indonesia, Thailand, and now China."

Even starting from 10% or 20%, such efforts can generate meaningful impact. We cannot continue to voice complaints while failing to implement our own initiatives among ourselves and friendly neighboring countries. Clearly, Anwar’s remarks convey an unmistakable message: de-dollarization is an inevitable trend, though the journey will be lengthy—the direction, however, will not change. Naturally, this stance is unwelcome to the United States. But why has Anwar chosen to make such a statement?

The underlying reason lies in the strategic benefits of gradual de-dollarization for Malaysia and regional economic development. Following the severe Asian financial crisis of 1998, Southeast Asian nations—including Malaysia—have remained acutely aware of the risks posed by reliance on a single dollar-dominated system. A measured shift away from the U.S. dollar not only helps mitigate exposure to the volatility of dollar cycles but also reduces foreign exchange costs in trade.

Today, intra-ASEAN trade volumes are substantial, as are trade flows between ASEAN and China. Establishing a regional currency settlement system could strengthen economic interdependence among ASEAN members, enhance the region’s collective bargaining power, streamline bilateral trade procedures, and further stimulate regional trade growth. Anwar’s willingness to speak out reflects a pragmatic approach. Proceeding incrementally avoids provoking the United States while minimizing potential disruptions to financial markets. In the pursuit of local currency settlements, Malaysia shares significant room for cooperation with us.

Original source: toutiao.com/article/1880033041591300/

Disclaimer: The views expressed in this article are those of the author alone.