Indonesia has the potential to loss tax revenues up to Rp887 trillion (US$56.34 billion) as the government' plan to reduce the corporate tax rate - Photo by President Office

JAKARTA (TheInsiderStories) – Indonesian Ministry of Finance hope the tax revenues could grow around 12 percent in 2020. This projection takes into account a number of factors that will affected the target, said the ministry.

While, President Joko Widodo aimed to revise labour law to attract more investment to the country. Recently, several policy has been taken by the government to boost foreign direct investment to Indonesia.

Indonesia’ external debt at the end of April stood at US$389.3 billion, consisted of government and central bank debt of USD189.7 billion and private debt (including state-owned enterprises) amounted to $199.6 billion. The external debt grew 8.7 percent compared to last year and higher than 7.9 percent from March, due to net withdrawals external debt and the strengthening Rupiah against US dollar.

But the Government debt slow down, Bank Indonesia reported. As of end-April, government external debt amounted to $186.7 billion, lowered 3.4 percent in annual basis and 3.6 from the previous quarter.  The decline was induced by debt repayments totaling $600 million as well as capital outflows to the domestic Government Debt amounted to $400 million, following the global financial market uncertainty as trade tensioned escalated.

Furthermore, Constitutional Court spokesman Fajar Laksono Soeroso said that the decision on the 2019 Presidential Election dispute will announce on Thursday (06/27). The opposition camp has judged President Widodo’ official has cheated structurally, systematically and massively on the presidential election resulted.

From abroad, Russia’ President Vladimir Putin has said open to dialogue whit the United States (US) to reach an agreement on the outstanding issues between the two countries. On the other hand, Trump sent a simple demand to Iran not use nuclear weapon and not sponsoring of terror to solve the dispute between the two countries.

He also rated, China, Japan and many other countries has get an advantage from US for many years to guard the security at the gulf areas but his country doesn’t get any compensation. For now, Trump stated, all of these countries should be protecting their own ships.

Trump again slammed Federal Reserve‘ (Fed) monetary policy, that he rated not support the America’ economy when the country need rates cuts and monetary easing. As reported the central bank decided to kept its Fed Fund Rate but hinted a cut later this year.

Yesterday, Indonesian Rupiah closed at 14,186 over the US Dollar, slightly decreased from Friday at 14,125. This morning the local currency strengthening to 14,137 against the Greenback.

May you have a profitable day!

Written by Linda Silaen and TIS Intelligence Team, Please Read Our Insight to Get More information about Indonesia