Arnoldus Kristianus, Jakarta – Indonesia will require exporters of natural resources to place proceeds from their overseas sales in state-owned banks, following the signing of a new regulation by President Prabowo Subianto, Finance Minister Purbaya Yudhi Sadewa said on Thursday.
The regulation is aimed at strengthening Indonesia's foreign exchange reserves so they can be more effectively utilized within the domestic financial market.
"The regulation has been signed by the President and now only awaits promulgation," Purbaya said at a press conference at his office, without specifying when the new rule would take effect.
Purbaya said the policy was designed to address the weak transmission between Indonesia's large trade surplus – driven by commodity exports – and the country's foreign exchange reserves.
On the same day, Bank Indonesia reported that foreign exchange reserves stood at $156.5 billion at the end of December 2025, an increase of just $800 million from December 2024.
"The increase in reserves was only $0.8 billion, even though Indonesia's trade surplus in 2025 reached $38.5 billion. That surplus has had almost no significant impact on our foreign exchange reserves," Purbaya said.
He said the discrepancy indicates structural weaknesses in the existing mechanism governing export proceeds from natural resources. Government reviews found that loopholes in previous regulations allowed exporters to keep a large portion of their dollar earnings overseas.
The new regulation is intended to close those gaps.
"We are tightening the rules so that export proceeds can only be placed in Himbara banks," Purbaya said, referring to Indonesia's association of state-owned lenders. "This will allow us to exercise better oversight."
By ensuring export proceeds are held domestically, the government expects to create a clearer link between the trade balance and foreign exchange reserves, strengthening buffers against global economic shocks, he said.
"This policy must genuinely improve our foreign exchange position so that our financial markets are more stable, liquidity is available, and the rupiah can strengthen over time," Purbaya added.