Declaration Guide

- Regulated Markets
   - Collecting Funds in a Regulated Market
   - Transfers
- How can I provide order information for IDR Local collections?
- Can I reuse order information for deposits and transfers quota?
- Why are my IDR funds being auto-converted into USD?

Regulated Markets

We call regions with strict foreign exchange controls "regulated markets". These are places where to remain compliant with local regulations, you need to provide order information (e.g., invoices of imports or exports) before collecting or transferring funds.

Throughout the process, Airwallex aims to shield you from regulatory complexity, so you can focus on what matters most. We guide you through what to submit, how to submit it, and what to expect at every step.

Collecting Funds in a Regulated Market

Collecting funds in a regulated market is not all different from the deposit experience you are used to. You still open a global business bank account, record your global account details (or provide them to a customer), and complete a bank transfer to add funds when you are ready.

Spotlight: Collecting IDR in Indonesia

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The key differences come in the extra steps you need to take before funds settle in your account. Let’s take IDR collections as an example (depicted above). 

To start, you must upload additional documents before collecting any IDR. Authorities in regulated markets like Indonesia want to first understand why you are collecting local currency.

We call these additional documents "sales orders", or invoices of the goods or services you sold in the regulated market (in the example above, Indonesia). Once you upload your "sales orders", we verify them instantly and calculate the total value of the sales you made. That total becomes your "deposits quota", or the maximum amount you can collect of that regulated market currency (in the example above, IDR).

Essentially, to collect funds in a regulated market, you must submit details on what you imported and we use that information to make sure you remain compliant with local regulations.

You must submit sales orders before making deposits. If your deposit arrives and it exceeds your deposits quota, your deposit will be rejected and returned to the sender

Transfers

Transferring funds into a regulated market is also unique. You will be required to upload order information as well, this time of the goods or services you bought from the regulated market. Once verified, your orders add together to provide you "transfers quota", or the maximum amount you can transfer in that particular regulated market currency. 

Like the deposit experience we described above, you will not be able to execute a transfer to a regulated market that exceeds your transfers quota. Always be sure to upload order information ahead of time.

Questions?
If you need an explainer or refresher on orders and quotas, check out our section on those for deposits and transfers.

 

How can I provide order information for IDR Local collections?

If you are interested in collecting IDR and moving it out of Indonesia, regulators require you to provide order information for goods or services you imported into Indonesia. We call this order information "sales orders".

Submitting Sales Orders for Collecting funds in Indonesia:

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Sales orders track details like the prices, dates, and descriptions of what you imported. We ask you to submit this information in a standardized excel file format. 

Curious what exactly a sales order should look like? Before you submit your sales orders for the first time, we provide you with an excel template (examples below) that guides you through what information is needed. 

This is how the information will look once you submit it:

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The second tab of the excel template provides you instructions on how to fill it out:

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Once you upload your files, we verify them instantly. If all goes well, you get a "deposits quota", or the maximum IDR you can collect locally. We calculate your deposits quota by adding up the values of the column reporting the sale value of each good or service.

If you want to see how much IDR deposits quota you have, head to "Account" -> "Declaration Center" -> "Deposits declaration". Here, you will be able to view your existing quota and upload more sales orders.

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Note, your deposits quota is assigned on a currency level. Meaning, you can use it to make deposits across multiple Indonesia global accounts.

Please note, when you open a global business bank account in Indonesia, recall that this account will not accept international deposits. Incoming transactions should be made via the RTGS or SKN local payment networks. Cross-border transactions or ATM payments will be rejected. 

 

Can I reuse order information for deposits and transfers quota?

If your company is based in a regulated market and you collect funds locally from another regulated market, you may only need to upload order information once. 

Submitting Sales Orders from Indonesia to Transfer funds into another regulated market:

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If you exported a good or service from a regulated market and directly sent it into another regulated market, then your records on what you imported are identical to your records on what you exported. Your sales orders, in other words, justify both your deposits and your transfers.

In cases where this applies, you can upload your sales orders and immediately get two quotas: (1) deposits quota for the regulated market you imported into and (2) transfers quota for the regulated market you exported from.

Note, only select customers are eligible to reuse their sales orders for both quota. If any of the following describe you or the things you are selling, then you are not eligible for reusing orders:

You are based outside of the regulated market you seek to transfer funds to
- Your goods/services were not exported from the regulated market you seek to transfer funds to
- Your goods/services were not imported into the regulated market you seek to collect funds from

 

Why are my IDR funds being auto-converted into USD?

Certain regulated markets, like Indonesia, compel foreign account holders to move their local funds offshore in a timely manner. Meaning, if you collect IDR, you cannot leave it parked in your Indonesia global bank account for too long.

To ensure your funds are safe and you remain compliant with local standards, we auto-convert your IDR into USD as soon as your deposits settle in your wallet. 

Once converted, your funds can be used freely like any other available USD wallet balance. Our intention is to minimize the time between you collecting funds and being able to use them–anywhere in the world.

 

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