KONTAN.CO.ID - JAKARTA. Indonesia's plan to make exporters retain 30% of their earnings onshore will apply to proceeds of at least $250,000, Chief Economics Minister Airlangga Hartarto said on Tuesday. The central bank hopes keeping funds in-country will help support the rupiah currency if U.S. interest rates continue to rise as expected. Policymakers in Southeast Asia's largest economy have long been concerned about exporters' habit of parking earnings in offshore bank accounts, even after authorities required them to receive proceeds through local banks more than a decade ago.
Indonesia to Apply Export Earning Retention Rules to Sums of at Least $250,000
KONTAN.CO.ID - JAKARTA. Indonesia's plan to make exporters retain 30% of their earnings onshore will apply to proceeds of at least $250,000, Chief Economics Minister Airlangga Hartarto said on Tuesday. The central bank hopes keeping funds in-country will help support the rupiah currency if U.S. interest rates continue to rise as expected. Policymakers in Southeast Asia's largest economy have long been concerned about exporters' habit of parking earnings in offshore bank accounts, even after authorities required them to receive proceeds through local banks more than a decade ago.