Indonesia is a developing country with a rapidly growing trade rate. The government is encouraging changes in the economy, but online Forex trading is still poorly known to local people. Despite the legal status of Forex in the country, the number of Indonesian brokers is small. However, many foreign brokerage companies also offer their services to Indonesians. 

How to choose brokers in Indonesia

Even specialists have insufficient information about the financial market in Indonesia. You should open an account with the presented brokers based on licensing and regulation, proposed trading conditions and currency pairs, commission volumes based on the spread.

Pay attention! Operations with currency pairs, where Islamic currency is present, can be temporarily limited. Please check with your broker in advance.

The official currency of Indonesia is the Indonesian Rupiah (IDR). It is present in the list of currencies for Forex trading. Bank of Indonesia forms the quotation of the national currency and controls Forex brokers doing business in the country.

 

Brokers are subject to strict rules, pay taxes, and pay fines for non-compliance or avoidance of taxes. 

The top brokers are known in Indonesia:

• IG is the best broker in 2020;

• Swissquote - provides the best service;

• Saxo Bank - known for its quality service to VIP clients;

• FOREX.com is a proven trading platform with successful trading conditions;

• FXCM - the best and great conditions for small and large traders.

• Also accessible on Forex Indonesia are XTB, Pepperstone and XM Group.

Where to Start Forex Trading in Indonesia

When a trader has chosen a responsible and reliable broker licensed by the regulator, it is necessary to register on its website. 

The procedure of registration:

• filling in a form with personal data and contacts;

• acceptance of the user agreement;

• verification of data based on scanned copies of documents;

• choice of account type and money transfer to deposit.

When the account is created, the trader installs the trading terminal. Depending on the broker's offers, it can be installed on a mobile phone as well as on a desktop computer.

Through the trading terminal, the trader monitors currency rates based on the currency pair selected by the strategy (e.g., dollars - IDR). If the rate is successful, the trader submits a trade request to the broker; the broker places it in the market.

The success of a deal depends on quality analytics, precise strategy and trader's sequence.

Margin comes to the trader's account minus the commission charged by the broker.

 

Remember, income from investment activities in Indonesia is taxed at the income tax rate.

Traders are advised to keep a history of all trades so that the tax inspector can fairly assess the income.

Fees are also collected: for withdrawals, transactions, currency conversion. If a trading operation is active, the commission may constitute a substantial amount. Specify the amounts of the fees from your broker and bank employees.

Conclusion

Traders from all over the world use Forex. Indonesia develops its financial market and welcomes online Forex trading.

The most famous brokerage companies in Indonesia are IG, Swissquote, FOREX.com and FXCM. Brokers' activities are clearly defined by law, and traders' income is subject to income tax.

The principles of trading on the trading platform in Indonesia are not significantly different from the world practice. Indonesian traders also earn money by trading and increase profits.