Bloomberg reported the Indonesia central bank requires companies place export revenue and foreign loan proceeds in domestic banks.
The central bank expects the rule will add an average of $29.5 billion of foreign-currency reserves to Indonesia’s banking system each year, Perry Warjiyo, Bank Indonesia’s director of economic research, said today.
The central bank will issue the new rule at the end of this month and it will take effect Oct. 1, Nasution said. There will be a sanction-free transition period from Oct. 1 until January for companies to report revenue and proceeds, he said.
Guess how this is going to affect Singapore, which holds much of Indonesian's deposit, if the above regulations are successfully implemented? (Till now, Indonesia rich are good at dodging government's regulations)
Not many in Singapore knows that we derive our prosperity very much by using Indonesia as our hinterland. In times to come, Jarkata will increasingly assume the role of regional financial center, when Indonesia become more developed.