Sunday, Dec 28, 2014Sunday, Dec 28, 2014

Indonesia suspends some exporter licenses over currency rule

Published on Feb 14, 2013 7:04 PM

JAKARTA (REUTERS) - Indonesia's central bank said on Thursday it ordered the suspension of export licenses of a number of small exporters who failed to report their foreign currency earnings.

A Bank Indonesia (BI) spokesman, Difi Johansyah, told Reuters that the central bank asked the customs office to suspend permits for violators, though he declined to name them or specify how many firms and what amount of export earnings were involved.

"Those exporters sanctioned are small firms and do not have a clear identification or address. Almost all big exporter firms are cooperating with the regulation," Mr Johansyah said.

The suspension of export licenses comes as analysts say BI is tightening loopholes to give it more control over the rupiah to ensure a weakening in the currency does not turn into a panicky tailspin.

If you are not a subscriber, you can get instant, unlimited access here