President Joko Widodo cited the higher tax revenue figures in a speech as the key to boosting infrastructure spending and growth, Reuters has reported.
The IMF had been sceptical about Indonesia’s ability to raise a significant sum from the amnesty but this figure appears to exceed the expectations of many observers of the Indonesian economy.
If the amnesty is to avoid being just a one-off windfall, Indonesia needs to improve a tax collection ratio well below many of its peers, international agencies and local officials have said.
To avoid that scenario, Indonesia’s finance minister Sri Mulyani Indrawati has set up a special tax reform team to boost collection in the country where many remain outside the tax system.
The amnesty has provided the government with more revenue than similar plans in countries such as India, Chile, Italy or South Africa, Indrawati said.