JAKARTA, Jan. 9 (Xinhua) -- Indonesia is planning to mandate exporters to retain their export earnings in the country for at least one year, an increase from the current three-month requirement, according to a senior official.
"One year is the minimum," Indonesian Coordinating Minister for Economic Affairs Airlangga Hartarto told reporters at his office.
The move aims to strengthen foreign exchange reserves amid global conditions driving capital outflows, said the minister.
He explained that the extended retention period is intended to bolster the country's foreign exchange reserves.
He also noted that the regulation for the extension is under preparation and is expected to be finalized soon. The development involves the Indonesian central bank, Bank Indonesia, as well as other banks.
As of December 2024, Indonesia's foreign exchange reserves reached an all-time high of 155.7 billion U.S. dollars, according to Bank Indonesia.
