Gold Trade-Based Money Laundering and Central Banking Governance in Indonesia: Implications for Reserve Integrity, Payment Systems, and Financial System Stability

Trade-based money laundering (TBML) has increasingly exploited commodities markets, including gold trading, to disguise illicit cross-border financial flows. In Indonesia, the growing integration of gold markets with the financial system has created vulnerabilities that threaten the financial system’s integrity, endangering its stability and effective central bank governance. This paper examines how TBML using gold affects key domains of central bank oversight in Indonesia, particularly reserve ...