Sri Mulyani & Tax Amnesty, a Brilliant Breakthrough of Jokowi

Indonesia economy experienced sluggish incapable even to target 5.1% in the first quarter. The low absorption of budget and juxtaposed of regional regulations were blamed by the government as the cause. But jokowi at the time promised to bring better the economy following the skepticism of many related contra politics. 

Facing unbalance of total revenue and deficit of national budget, jokowi swift to release the tax amnesty which is predicted to contribute 165 trillion rupiahs. This was meant to mend the deficit of budget while the government is undergoing massive infrastructure platform. 

Though the economy slowly to change forward, it is inevitable that tax amnesty policy has brought bigger and good prospect in investment of the country. The investors who have fled their money abroad already hint to participate in the easiness of regulations of tax amnesty. The impact of this is not only the rising of country's economy, even singapore was verbally in friction with indonesia after the country pointed on the act of singapore to topple down the tax amnesty. 

Right after the booming of tax amnesty, in the midst of its polemy of rejection by some, jokowi shocked the nation through the appointment of sri mulyani as the new finance minister. Sri Mulyani was well known in world bank and included in the list top 100 powerful women in the world. 

This new finance minister, right away executes the program of tax amnesty by limbering and terminate the investigation to the participants of tax amnesty. The effect of sri mulyani is the fresh breeze. It is perceived in capital market which has positive response after the appointment of new finance minister. 

The Financial Services Authority said there were some positive catalyst that drives the pace of the stock price index exceeded 5,400, up about 20.20 percent of 4525.92 earlier in the year.

At the close of trading on Tuesday, August 9, 2016, JCI touched the level of 5440.29. Even the increase in JCI in Indonesia is now ranked second in the trading of stocks in Asia-Pacific. Thailand won the first rank with 22.69 per cent rise from the beginning of January to 1550.03 1263.41 in trading yesterday.

Chief Executive of the FSA Capital Market Supervisory Nurhaida said CSPI crawled in the positive zone is closely associated with the tax amnesty passed the House of Representatives. Strategic policies that accompanied the hard work of the government until President Joko Widodo intervene socialization of tax amnesty to businesses to make JCI re-set new records in terms of index rise, the value of the transaction, and market capitalization.