IMF demands Indonesia lift nickel export ban

The nickel export ban policy has attracted the attention of the International Monetary Fund (IMF). The Executive Board of the International Monetary Fund recommended that the Indonesian government lift the nickel export ban in stages. This is revealed in the press release released on June 25, 2023 on the website of the International Monetary Fund.

The Executive Board of the International Monetary Fund understands Indonesia's diversification measures, focusing on downstream raw material mineral commodities such as nickel. The measures taken by the Indonesian government to increase export value-added, attract foreign direct investment, and transfer skills such as technology have also been appreciated. In addition, it is necessary to establish a further cost-benefit analysis mechanism in decision-making and minimize the impact on other countries.

On Wednesday (June 28), the official website of the International Monetary Fund quoted the words: "Against this background, (the Executive Board) called for consideration of gradually lifting export restrictions and not expanding restrictions on other commodities." In response, Irwandy Arif, a special staff member of the Ministry of Energy and Mineral Resources to speed up the management of minerals and coal, confirmed that so far, there has been no inter-ministerial discussion on the request.

Arif emphasized that the government is still taking a stance and implementing downstream policies for minerals and coal in accordance with legal provisions. On Wednesday (June 28), Arif stated that "downstream needs to comply with government policies stipulated in Law No. 4 of 2009 and Law No. 3 of 2020." The government has banned nickel ore exports since January 1, 2020. This policy encourages the construction of domestic nickel processing and smelting plants. Recently, the government banned the export of Bauxite from June 10, 2023.