Indonesian Rupiah Research Articles

Book-Tax Differences and Profit Growth: Evidence from Indonesia

This study aims to examine the effect of permanent and temporary differences as well as book-tax differences on profit growth in property and real estate firms listed on the Indonesia Stock Exchange (IDX). Permanent differences refer to the differences between taxable income and accounting income that cannot be reversed in the future, while temporary differences are the differences that will reverse over time. The study focused on the sub-sector of property and real estate, which was selected because these companies are considered high-risk and often adopt strategies to legally minimize their tax burden in order to maximize profits.. Purposive sampling was used to select a sample of 12 property and real estate firms that consistently published audited financial statements in Indonesian Rupiah from 2018 to 2021 and did not undergo delisting from the IDX during that period. The results of the analysis reveal that profit growth is positively and significantly influenced by both permanent and temporary differences. However, there was no significant impact observed from book-tax differences. These findings may provide insights for policymakers and investors in the property and real estate sector.

The Influence of BI Rate, Inflation, and Exchange Rate on The IDX Composite Stock Index (IHSG)

This study investigates the impact of variations in the BI rate, inflation rate, and the USD/IDR (US Dollar to Indonesian Rupiah) exchange rate on the IDX Composite Index (IHSG). The Composite Stock Price Index is one of the resources that investors use to choose their investing strategy. Inflation, exchange rates, business interest rates, and the IHSG are among the variables that make up the sample used in this study, which spans 60 months from January 2015 to December 2019. The analysis of the data was done using multiple regression methods. According to the findings, the IHSG is negatively impacted by changes in the BI rate, positively impacted by changes in the USD/IDR exchange rate, and not impacted at all by changes in the inflation rate. Additional analysis should look at additional potential macroeconomic factors.

Concept of an Intelligent Parking System; Efforts to Resolve Traffic Conflicts Regulations

Makassar, an Indonesian city, is situated on the south-western coast of Sulawesi Island. It is the largest commercial centre in eastern Indonesia, and traffic congestion is a problem there. Movement management must establish sufficient and well-organized parking areas, as well as a good and transparent system to eliminate unmonitored restitution funds, in order to address these issues. To address parking issues in Makassar, a legal and technical strategy is developed, with an emphasis on inclusiveness and including both legal and illegal parking spaces. The integrated parking concept is comprised of a mobile, everywhere-accessible parking area reservation system, a vehicle registration system based on licence plate numbers, and an effective data management system. 180 million Indonesian Rupiah are spent on all equipment and activity installations (IDR). At least 50 locations utilising this system will be required for a minimum vehicle range of 250,000 units, resulting in an approximate capital cost of 9 billion rupiah. The first clause describes the application of minimum parking fees to flat parking fees (generally 2 thousand rupiah). During a single parking period, it is anticipated that 250,000 vehicles will utilise this parking system if all parking spaces are occupied simultaneously. Government and investors can raise 250 million rupiah in investment capital assuming a 50:50 profit split. Revenue can reach billions of rupiah with just four iterations. Doi: 10.28991/CEJ-SP2023-09-05 Full Text: PDF

Pengaruh Inflasi, Currency Exchange, dan BI Rate terhadap Pembiayaan Murabahah di Bank BRI Syariah Tahun 2015-2020

The purpose of this research is to identify the impact relationship between change of inflation, currency exchange fluctuation of Indonesian Rupiah exchange against foreign currencies, and the provisions for determining BI rate by Bank Indonesia for murabahah financing carried out by one of the Islamic banks in Indonesia. Financial Statements of Bank BRI Syariah is the population that used for this research. The data collected for this research is secondary data derived from information published on the official websites of the OJK and BPS. The type of analysis used in this study is a type of multiple linear regression analysis using time series data type. Result from this research is indicate that inflation, currency exchange rates, and the BI rate do not have a significant effect on murabahah financing at Bank BRI Syariah in the period 2015 to 2020.

PENERAPAN METODE ANFIS UNTUK MEMPREDIKSI NILAI TUKAR DOLAR AS (USD) TERHADAP RUPIAH

The purpose of this study is to explain the prediction of the exchange rate of the United States Dollar (USD) on the Indonesia Rupiah (IDR) using the Adaptive Neuro Fuzzy Inference System (ANFIS) method. ANFIS is a combination of functions contained in fuzzy logic and neural networks. The data used is data with daily period of the USD exchange rate against the rupiah. The input to the daily prediction is a combination of the exchange rates on the previous days for the prediction of the selling rate of the United States Dollar (USD) for the next one day. The results of this study, the best model ANFIS uses a membership function Gaussian with model 3 consisting of 4 inputs and 1 output with a combination of training data and test data 80:20 or 202 data training and 51 data testing resulting MAPE is 3.74% and from the MAPE value it can be concluded that predictions using the ANFIS can be categorized as very accurate.

Economic Value of Food Commodities and Labor Shift due to Rice Field Conversion in Batu City, Indonesia

Increasing tourist activities in Batu City makes agricultural land conversion unavoidable. This research aims to determining the lost economic value of food commodities due to converted agricultural land area and labor shift. The conversion area of agricultural land in all areas can be identified through Landsat image 8 ETM+ in 2017 and 2021. An overlay analysis using ArcGIS 10.2 software with 7 variables was then utilized to determine land capability and land suitability. Then, it was combined with the survey results of 334 land price points to determine the distribution of agricultural land prices in Batu City by using Kriging interpolation analysis. The results of the research show that the agricultural land area has decreased in the past 4 years by 169.96 Ha, with a lost economic value of approximately 5 billion Indonesian rupiah. The agricultural land price in Batu City is divided into 4 classifications. The results indicate that the agricultural land price is high, so it accelerates the agricultural land conversion. Therefore, the government should pay close attention to land conversion.

Software Size Measurement of Smart Digital Tourism Project based on Use Case Point

In recent years, the tourism sector has evolved into a key strategic business for boosting local economic output. This industry has been dealing with the COVID-19 pandemic impact since the end of 2019. The tourism sector was, however, expected to bounce back and carry on expanding as it had in the past. For the purpose of enhancing services for stakeholders, this sector must transition from the conventional approach to digitization. Regarding the ability to include stakeholders in offering smart services, a smart digital tourism should be prepared. The creation of this clever solution should follow a quantifiable software development approach, such as measurable software design. The purpose of this study is to provide a case point method for measuring software design in relation to project budget and schedule. The study's findings showed that the size of the project would be 112.27 Use Case Points, it would take 2,133.13 hours to complete, and it would cost 28,530,613.8 Indonesian Rupiah (IDR) to develop the software. The findings will aid in the management of software development at a later stage in terms of making decisions and planning additional quantifiable projects.

Economic impact of highly pathogenic avian influenza outbreaks in Western Java smallholder broiler farms

Highly Pathogenic Avian Influenza (HPAI) H5N1 is considered endemic in most parts of Indonesia and constitutes an important risk for broiler production, especially in Western Java which has the highest poultry population in the country. Most broiler farms in Western Java are smallholder farms that operate under different business types: independent (i.e., revenues based on market price and live bird weight), price-contract (i.e., revenues based on a contract selling price and live bird weight) or makloon (i.e., revenues based on a management fee per sold bird). Many studies focus on the epidemiological impacts of HPAI at the regional level, and insights into the economic impact at the farm level are scarce, especially in the Indonesian context. Meanwhile, a single HPAI outbreak could disrupt smallholder broiler farmers’ primary source of income. Therefore, this study aimed to evaluate the economic impact of HPAI outbreaks under different response scenarios (i.e., no action, stamping out, and early selling) on typical Western Java smallholder broiler farms. Furthermore, the effect of different farm business types and the existence of a sick-bird market on the economic effects of HPAI outbreaks were evaluated. We developed a dynamic stochastic bio-economic simulation model to simulate epidemiological and economic impacts of HPAI outbreaks on a typical Western Java smallholder broiler farm during one production round. Our results show that the economic consequences of HPAI outbreaks for independent and price-contract farms are considerable, ranging from, on average, 1.2–62.7 million Indonesian Rupiah (IDR) losses (€76.9 to €3919), depending on the moment of and response to infection, compared to an expected gross margin of 5.3 million IDR (€331) under normal circumstances. The economic loss for makloon farms was substantially lower than for other business types, reducing their incentive to implement biosecurity. The economic impacts were sensitive to changes in a diverse set of parameters, including disease transmission rate, detection threshold, and stamping-out compensation. The losses in a scenario with stamping out were higher than in other scenarios, especially when stamping out happened near the end of the production round. Moreover, reacting to an outbreak by selling chickens early gave the lowest economic losses, incentivizing farmers to engage in behavior with a high disease transmission risk. Therefore, the results of this study suggest that it is important to consider the economic perspective of individual farmers when designing HPAI mitigation programs. Financial incentives for farmers to control HPAI differ largely between farm business types.

Willingness to Pay (WTP) for COVID-19 Vaccine Booster Dose and Its Determinants in Indonesia.

Willingness to pay (WTP) for booster doses of coronavirus disease 2019 (COVID-19) vaccines is an under studied research topic. Therefore, the current study aimed to investigate the WTP for the booster doses of COVID-19 vaccines and its predictors in Indonesia using an online survey distributed all over the provinces of this low-middle-income country. The WTP was evaluated using a basic dichotomous contingent valuation approach, and its associated determinants were evaluated using a linear regression model. Out of 2935 responders, 66.2% (1942/2935) were willing to pay for a booster dose of the COVID-19 vaccine. The majority of respondents (63.5%) were willing to pay within a price range of 100,000-500,000 Indonesian rupiah (IDR), i.e., USD 6.71-33.57. Being older than 40 years, having a higher educational level, having a higher income, knowing and understanding that booster doses were important, and having a vaccine status that is certified halal (permissible in Islamic law), were all associated with a higher WTP for the booster dose of COVID-19 vaccines. The study findings imply that the WTP for a booster dose of COVID-19 vaccination in Indonesia is lower compared to acceptance of vaccines provided free of charge. This WTP data can be utilized to develop a pricing scheme for the booster doses of COVID-19 vaccination in the country with potential benefits in other low-income countries. The government may be required to provide subsidies for the herd immunity vaccination process to proceed as anticipated. Furthermore, the public community must be educated on the importance of vaccination as well as the fact that the COVID-19 epidemic is far from being over.

The Short-Run and Long-Run Effects of Central Bank Rate on Exchange Rate Volatility in Indonesia

This research measures the short and long-run effects of central bank policy rate on the volatility of the exchange rate in Indonesia using the quarterly data from Q1 1992 to Q4 2019. The process involves applying an Autoregressive Distribution Lag estimation to investigate the effects of the variables. The exchange rate volatilities include Indonesia Rupiah to US Dollar (IDR-USD), Indonesia Rupiah to Singapore Dollar (IDR-SGD), Indonesia Rupiah to Australia Dollar (IDR-AUD), Indonesia Rupiah to British Pound Sterling (IDR-GBP), and Indonesia Rupiah to Euro (IDR-EURO). Several results were obtained and the first to show the adjustment time for exchange rate volatility to achieve long-run equilibrium was 1.77 quarters to 2.26 quarters using the ARDL estimation. Secondly, a decrease in the central bank rate was found to significantly reduce the exchange rate volatility in the short run and long run. These results are robust since Full Modified Ordinary Least Square (FMOLS) estimation was applied for all five models. Furthermore, it was found that in the long run, the central bank policy rate had a significant positive effect on the volatility of the Indonesia Rupiah against five foreign exchange rates. Therefore, it was suggested that the policymakers need to keep the interest rate of the central bank low and stable to ensure the Rupiah exchange rate stability.

Pengaruh Laba Kotor, Laba Operasi dan Laba Bersih dalam Memprediksi Arus Kas di Masa Mendatang Pada Perusahaan Manufaktur

This study aims to provide empirical evidence on gross profit, operating profit and net income by testing each variable to predict cash flow. The research subjects are manufacturing companies listed on the Indonesia Stock Exchange in 2019, using Indonesian rupiah currency units in their financial statements and companies that do not experience losses by disclosing and providing the necessary data. The method of selecting the subject of this research is to deliberately take a sample of 45 companies. The analysis model used in this research is multiple linear regression analysis model with the help of Eviews 10 program. The results showed that gross profit has a significant positive effect on cash flow, while operating profit and net profit have no significant effect on cash flow. However, gross profit, operating profit, and net profit also have the ability to predict cash flow. Based on the results of the determinant test, sufficient coefficients are calculated so that the selected model can be used as a future cash flow forecasting model.

Exchange rate volatility and trade flows in Indonesia and ten main trade partners: asymmetric effects

Purpose This paper aims to examine whether Indonesian cross-border trade responds asymmetrically to exchange rate volatility (ERV). Design/methodology/approach An exponential generalized autorgressive conditional heteroscedasticity model is applied to estimate the ERV of Indonesia and ten main trade partners using quarterly data from 2006 to 2020. A nonlinear autoregressive distributed lag estimation is applied to estimate the impact of ERV on cross-border trade. Impacts from the global financial crisis (GFC) of 2008 and the COVID-19 pandemic are covered. Dynamic panel data is used for the robustness test. Findings In the short-run, ERV significantly affects exports to most of the top partners (positively, negatively or both). In the long run, asymmetric effects occur in Indonesia’s exports to five top destinations. The weakening of the Indonesian Rupiah mainly supports exports in the short term. Imports from top partners are also affected by ERV in both the short run and, to a lesser extent, in the long run. Both the GFC and the COVID-19 pandemic reduced trade: for most cases, in the short run. The dynamic panel model suggests that ERV has asymmetric impact on cross-border trade in the long run. Practical implications Exchange rate strategies need to avoid a single-side policy approach and, instead, account for exporter and importer differences in risk behaviour and an asymmetric response to ERV in trade. Policymakers need to consider policies that stabilise the currency. Originality/value This study provides evidence that cross-border trade can react asymmetrically to the exchange rate uncertainty and that the impacts of real ERV are asymmetric as well. The authors also apply a dynamic panel that signals that ERV matters in the long run for Indonesian trade with top partners.

Banana Ice Cream as An Eco-friendly Social Enterprise Product for Helping Cancer Patients During Treatment

Purpose: Banana ice cream is a fun food to eat and has both functions. The use of banana as main component of ice cream is expected to be a sustainable food, which is supporting Sustainable Development Goals (SDGs). The business of banana ice cream can be run for social purposes that make a profit, which will circle back for the needs of cancer patients.
 Design/methodology/approach: Break even point analysis used to determine economic feasibility of the business plan. Break even point would be reached when the total unit of selling banana ice cream as much as 3.024 scoops with sales value was 15.120.000 Indonesian Rupiah. The minimum time for recovering the initial investment was 151 days or 5 months. Banana ice cream business is feasible to be run.
 Findings: Cancer treatments often cause adverse effects at different levels. The adverse effect can greatly affect the patient's daily activities that may impair quality of life. New food products shall be developed to improve patient nutrition and reduce side effects from therapies.
 Originality/value: This paper is original
 Paper type: Research paper

Peramalan Kurs Rupiah Terhadap Dolar Amerika Menggunakan Jaringan Saraf Tiruan

The Indonesian rupiah (IDR) exchange rate is used to gauge Indonesia's economic stability. Maintaining the IDR exchange rate's stability is critical since it has a direct impact on Indonesia's national monetary situation, particularly during the Covid-19 pandemic. Forecasting is one way to assess government policy in terms of lowering the exchange rate. The goal of this study is to use the backpropagation artificial neural network model to model and predict the IDR exchange rate. This study uses daily data on the US Dollar (USD) to Indonesian Rupiah (IDR) exchange rate from March 2020 to December 2021. The best BPNN model is BP (2,5,1) with 2 neurons in the input layer, 5 neurons in the hidden layer, and 1 neuron in the output layer. The accuracy of prediction of this model is very good with an RMSE value is 33,66 and MAPE value is 0,1796%.

Do Migrant's Remittance Inflow Affects the Dutch Disease: Evidence from Indonesia

Purpose: Remittances have grown in measurement and importance. While such inflows can improve economic growth, they may additionally also reason domestic foreign money to respect and hurt exports – an aspect of impact generally referred to as the Dutch disease. Statistics exhibit that remittances influx to Indonesia grew from 1% of GDP in 1984 to over 9% of GDP in 2020. Theoretically, such a massive influx of overseas foreign money into an economy may lead to Dutch diseases. Methodology: For this purpose, they learn about employing the Autoregressive Distributed Lag Model (ARDL) to observe the impact of migrant remittances on the actual fantastic exchange charge spanning the duration from 1984 to 2020. Findings: In the long run, they find out about finds an effective relationship between migrants’ remittances and the real high-quality change rate, which means that evidence of Dutch Disease risk in Indonesia. This grasp of the Indonesia rupiah relative to different competing countries encourages import and discourages export, leading to the Dutch disease effect. Originality/Value: This study, therefore, investigated whether the large inflow of remittances into the economic system reasons Dutch disease.

An innovative thermal composter to accelerate food waste decomposition at the household level

An innovative, portable thermal composter was developed to accelerate the decomposition of food waste at household. The study aimed to evaluate the performance of the composter by assessing the quality of the compost produced. Food waste was chopped, mixed, stirred at 80 rpm, and heated to ∼55 °C; thereafter, a bulking agent and stimulated microorganisms were added to the mixture. The composter mixing speed was assessed to calculate the feasible composting time. The results revealed that the active phase of composting process could be completed in a day, producing good quality compost. The pH, electric conductivity, and C/N ratio of the compost was 6.72, 1148–1179 μScm−1, and 20.38, respectively. The lowest ammonia emissions (i.e., 7.2 g/Nm3) were produced on the sixth day. The total cost required to process 1 kg of food waste in a day was only 2097.76 Indonesian Rupiah (IDR), highlighting the feasibility of this technology.

Direct medical cost of metformin and metformin-glimepiride in type 2 diabetes mellitus patients

Diabetes mellitus (DM) requires long-term therapy. Selection of the right therapy was very important to provide optimal results at an affordable cost. One of the main standards of oral antidiabetic therapy prescribed for type 2 DM (T2DM) is metformin, either alone or in combination therapy. The purpose of this study was to describe the direct medical costs in type 2 DM patients between metformin and metformin-glimepiride therapy. This research was an observational and descriptive. Demographic and clinical data were taken prospectively from the complete medical records of data patients with the main diagnosis of DM who fulfilled the inclusion criteria in the period January 2019–November 2020 at RSU Nene Mallomo Sidenreng Rappang, South Sulawesi and the two Public Health Centers namely Puskesmas Galur. II and Panjatan II Kulon Progo Yogyakarta. Cost data includes total medical costs from the hospital/ healthcare perspective (cost of drugs, doctor's services and checkups, fees for checking Fasting Blood Glucose/ Gula darah Puasa (GDP) and Blood Glucose Level While/ Gula Darah Sewaktu (GDS)) and total costs from the Badan Penyelenggara Jaminan Sosial (BPJS)/ payer perspective (INA-CBG's rates) were covered by insurance. The results showed that the average direct medical costs at the hospital and the two Public Health Centers respectively were metformin therapy in IDR (Indonesian Rupiah) namely IDR 120.736 and IDR 9.072,- and metformin-glimepiride therapy of IDR 126.298,- and IDR 18.634,-. It can be concluded that the average direct medical cost of metformin therapy is lower than metformin-glimepiride therapy.

Acceptance and willingness to purchase a hypothetical COVID-19 vaccine in a region under Shariah law: A cross-sectional study in Aceh, Indonesia.

Vaccines are urgently needed to control the coronavirus disease 2019 (COVID-19) pandemic. The aim of this study was to determine the acceptance of and willingness to purchase a hypothetical COVID-19 vaccine in the general population of Aceh, a holistic Shariah law implementation province in Indonesia. An online cross-sectional study was conducted using a quota sampling technique between 1 to 24 September 2021. To determine hypothetical vaccine acceptance, respondents were asked if they were willing to accept vaccines with combinations of either 50% or 95% effectiveness and either 5% or 20% risk of adverse effects. Willingness to purchase was assessed by asking whether the participants would pay for such vaccines at certain price points. Logistic regression analysis was used to assess the associated determinants. Out of 377 respondents included in the final analysis, 86.5% were willing to accept a COVID-19 vaccine with 95% effectiveness and 5% adverse effects. The acceptance rate dropped to 45.1% if the risk of adverse effects was 20%. Vaccines with 50% effectiveness and 5% adverse effects were acceptable to 42.2% but the acceptance went down to 17.2% if the risk of adverse effects increased to 20%. Multivariate analysis found that men were twice as likely to accept a vaccine with 95% effectiveness and 5% adverse effects compared to females (aOR: 2.01; 95% CI 1.05-3.86). We found that 156/377 (41.3%) of respondents were willing to purchase a COVID-19 vaccine and of these participants 71.1% were willing to pay between Indonesian Rupiah (IDR) 50,000-150,000 (US$ 3.33-10.00). In conclusion, the acceptance rate of a hypothetical COVID-19 vaccine varied based on effectiveness and the risk of adverse effects.

Implementation of Restaurant Tax Management Policy at the Regional Financial and Revenue Management Agency of Medan City

In implementing the taxes of restaurant management policy in the financial and regional income management agency of Medan City, the purpose of this research is to find out the behaviour of the regulated policy and whether in implementing the policy it has been fully implemented by the Medan City Regional Tax Retribution Management Agency. The object of this research comes from primary data and secondary data. This research shows that there are still some that have not been realized from the applicable policies. The lack of supervision over the collection of Regional Taxes, especially in the Hotel and Restaurant Tax section, impacts tax arrears, which are significant in 2020, reaching 18 billion Indonesia Rupiah.

Contagion effects in ASEAN-5 exchange rates during the Covid-19 pandemic

The aim of this study is to examine the pure and fundamentals-based contagion effects in ASEAN-5 exchange rates during Covid-19 period using daily exchange rates from June 2019 to December 2020. We adopt VECM within the structural VAR framework and higher time–frequency wavelet analysis. The VECM findings show that ASEAN-5 exchange rates are cointegrated during this pandemic and should there be any disequilibrium, daily rate of adjustments in the Indonesian rupiah, Malaysian ringgit and Singapore dollar are 6.58%, 1.47% and 2.45% respectively. The wavelet power spectrum implies that Indonesia, Malaysia and Singapore experience prolonged high degree of exchange rates volatility, Thailand experiences mild volatility in the short run and high volatility in the long run and only Philippines experiences mild volatility in the short run and no heightened long run volatility. The wavelet coherence shows Indonesian rupiah reacts first to the Covid-19 shock leading to fundamentals- based contagion to Malaysia and Thailand, and temporary pure contagion based on sentimental to Philippines and Singapore. Only the Philippine peso that insulates itself from the long run shocks. These findings are important as it gives insights into the nature of contagion among ASEAN-5 exchange rates due to global shock of Covid-19 and the need for timely intervention to prevent the short run contagion turning into the long run.