BI to Immediately Issue Special Account Rules on Exports

TEMPO.CO, Jakarta - Bank Indonesia (BI) guarantees that the draft regulation on export-specific foreign exchange accounts (DHE) has been completed. BI said the banking industry is also ready to optimize the DHE to accelerate the pace of economic activity.

BI Governor Perry Warjiyo in Jakarta on Friday explained that the timing of the issuance of the BI Regulation (PBI), a special DHE account, was awaiting the issuance of a regulation from the Minister of Finance regarding the storage of DHE from activities of exploitation, management or processing of natural resources.

"(Exit) in the near future, because one package with regulations from the government comes out, PBI comes out," Perry said.

The two rules from the Central Bank and the Minister of Finance will be derived from the Government Regulation (PP) Number 1 of 2019 concerning DHE from Natural Resources Management, Management and /or Reduction Activities signed by President Joko Widodo on 10 January 2019.

Perry also said the Central Bank and the banking industry had plans to optimize the flow of DHE which could increase financing of economic activities, while strengthening the supply of foreign exchange which could ultimately strengthen the rupiah exchange rate.

"So that the policies pursued by the government, especially the provision of tax incentives for DHE that are mostly brought into the country and also converted to rupiah, deposit tax incentives will be easier, faster and clearer," Perry said.

Previously, the government issued a policy that required export proceeds from natural resources to return to the Indonesian financial system to strengthen the current account balance, which had been experiencing a sharp deficit.

Foreign exchange proceeds from exports originating from the natural resources sector, especially mining, plantations, forestry and fisheries, must be placed in special accounts for banks conducting business in foreign exchange.

The government also imposes administrative sanctions for exporters who do not want to place foreign exchange export proceeds in a special bank account within the country at the end of the third month after the month of registration of the export customs notification.

ANTARA