as multilateral development banks ( mdbs ). for this reason, it is not surprising if central banks and other regulatory bodies put their attention to enhance zakat and awqaf system. one of the areas to be improved is the regulatory aspect, which includes zakat core principles to provide reference for the establishment of zakat system in the oic member countries. financial deepening program in many countries should also promote product innovation and enhancement to give a wider access to broader segments of people, which is in line with the program of islamic development bank, african development bank, asian development bank and the world bank. this in turn will bring substantial benefits to support national poverty alleciation program. distinguished guests, ladies and gentlemen, please allow me to close my speech by expressing my appreciation and sincere gratitude to all speakers and participants for the willingness to join this event. i also would like wish you all a fruitful discussion and deliberation in this important event. as i mentioned before, i believe that with the support of internationally reputable academics and market players, we can reach significant outcomes to promote zakat and awqaf system. finally, i am delighted to officially open “ the 3rd international conference on inclusive islamic financial sector development ”, enjoy the discussion and the rest of session at bank indonesia museum in the evening. thank you very much, wassalamualaykum warahmatullah wabarakatuh. bis central bankers ’ speeches

in the country. 6. such regulations, directly or indirectly, confirm the mandatory use of rupiah in any payment transactions conducted within the republic of indonesia, either in cash or non - cash. 7. second, nationhood dimension. many parties see and believe that the main purpose for bank indonesia to implement mandatory use of rupiah is solely to bis central bankers ’ speeches support the stability of rupiah exchange rate. it is not wrong, but other than economic aspect, one more basic and fundamental reason is to uphold the sovereignty of the republic of indonesia. 8. i would like to use an analogy to explain the nationhood dimension delivered by president jokowi in his inauguration speech as the president of the republic of indonesia. he said “ we have been ignoring the sea. ” indonesia must honor its own civilization, by returning to the position of indonesia as a maritime country. 9. in relation to enforcing rupiah, i would not wish that within the next 5 or 10 years or even longer, our president will say “ we have been ignoring rupiah. ” 10. it seems an irony because honestly, it is apparent that the tendency to use dollar has become increasingly dominant and a daily practice in certain economic activities. 11. we easily find that dollar is frequently used, starting from quotations, individual ( customer ) payment transactions, such as purchases of electronic devices and apartments, until non - cash payment transactions in a large amount. 12. one of the noteworthy historical records serving as a lesson for us is the release of sipadan and ligitan islands from the republic of indonesia. one of the global considerations in releasing sipadan island is lack of economic transactions and activities using rupiah therein. 13. third, economic / business aspect. foreign currency transactions within the country become one of the factors resulting in increasing foreign currency demand. such high foreign currency demand in economic transactions will make our economy vulnerable to economic fluctuations. the trust of indonesian people and the international world in rupiah will strengthen national economic resilience in general, thereby resulting in the rising dignity of rupiah, both within and outside the country. 14. in the excessive net demand for foreign currency within the country, such use of foreign currency will increase the pressure against rupiah exchange rate depreciation. it will potentially disrupt rupiah stability and add to the complexity of monetary and exchange rate policies. 15. bank indonesia as the central bank realizes that the use of rupia