All domestic transactions 'must be done' in rupiah<\/p>\n
JAKARTA (JP): The Indonesian Chamber of Commerce and Industry
\nhas urged the government to require all domestic business
\ntransactions to be done in rupiah.<\/p>\n
"The government needs to rule that all services and goods
\noffered domestically be priced in rupiah instead of foreign
\ncurrencies," Aburizal Bakrie was quoted by the daily Bisnis
\nIndonesia as saying.<\/p>\n
"The government must make the rupiah the only valid currency
\nfor domestic transactions," he said.<\/p>\n
The measure would reduce dependency on the U.S. dollar, he
\nsaid.<\/p>\n
It would also boost demand for the rupiah and would ease the
\ncurrency crisis caused by the loss of confidence in the rupiah.<\/p>\n
"Malaysia uses the ringgit, Japan uses the yen and Thailand
\nuses the baht.<\/p>\n
"Why... do we still use the dollar?" he asked.<\/p>\n
Rental of retail space, shops in the shopping centers and some
\napartments and houses are some transactions quoted in dollars.<\/p>\n
The dollar is also used at hotels, some private schools and
\nlegal services.<\/p>\n
The U.S. dollar has more than doubled its value against the
\nrupiah since July.<\/p>\n
Late last year, the finance minister said the government did
\nnot prohibit businesses from using the dollar as a base for local
\ntransactions as long as payments could be made in rupiah.<\/p>\n
The Indonesian Association of Retailers has complained that
\nthe use of the dollar for retail rental space has burdened
\ncompanies.<\/p>\n
The rising dollar has also put pressure on publishing
\ncompanies, as it more than doubled the price of newsprint, the
\nraw material of newspapers, which are sold in rupiah. (das)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/all-domestic-transactions-must-be-done-in-rupiah-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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