The Indonesian rupiah rate weakened against the US dollar in March 2019. Bank Indonesia’s benchmark JISDOR rate finished the third month of the year at a position of IDR 14,244 per US dollar, down 1.29 percent compared to the level of IDR 14,062 per US dollar that was set at the last trading day of February 2019. Nevertheless, compared to the start of the year, the rupiah has remained in positive territory, having appreciated 1.64 percent against the US greenback in the first quarter of 2019.
17 February 2020 (closed)
USD/IDR (13,777) +42.00 +0.31%
EUR/IDR (14,865) +32.28 +0.22%
Jakarta Composite Index (5,867.52) +0.58 +0.01%
Our Financial Columns offer analyses of subjects related to the Indonesian financial markets. Together, these columns - that also have high news value in the current state of the Indonesian economy - intend to provide a clear and detailed picture regarding the structure and performance of these markets.
Credit rating agency Fitch Ratings announced on 14 March 2019 that it has affirmed Indonesia's long-term foreign-currency issuer default rating at 'BBB' with a stable outlook (investment grade level). This decision was particularly based on Indonesia’s favorable gross domestic product (GDP) growth outlook and the nation’s small government debt burden (government debt is low at an estimated 29.8 percent of GDP in 2018).
In line with expectations, the central bank of Indonesia (Bank Indonesia) kept its benchmark BI 7-Day Reverse Repo Rate at 6.00 percent at the February policy meeting that was held on 20-21 February 2019. Also the deposit facility and lending facility rates were kept at 5.25 percent and 6.75 percent, respectively.
Tax is not everybody’s favourite topic of conversation. Nonetheless, it is a crucial subject both for the legal entity and the individual as various taxes need to be filed to authorities. Trying to escape from paying (higher) taxes is a risky affair and can lead to serious sanctions. Similarly, innocent mistakes can also cause problems with tax officials and therefore is it advised to invest some time in understanding the tax system. This advice particularly applies to those who move to different jurisdictions – to work and/or live - as tax regulations may not be the same as the regulations in their home country.