Economics
Indonesia Plans Investment Tools to Keep Amnesty Funds Onshore
- Instruments to offer ‘good’ returns, central bank deputy says
- Lock-in for funds reptraiated under amnesty will end in March
Photographer: Rony Zakaria/Bloomberg
This article is for subscribers only.
Indonesian authorities are working to develop new investment instruments with “good” returns in a bid to retain onshore more than $10 billion that was repatriated under a tax amnesty program three years ago, with officials acting before a lock-in period on the funds expires later this year.
Bank Indonesia, the Ministry of Finance and the Financial Services Authority are preparing the products, Antara news agency reported, citing central bank Deputy Governor Dody Budi Waluyo, without giving details. Investors may not rush to withdraw the money from Indonesia given attractive yields on domestic instruments and improving fundamentals, Waluyo was cited as saying.