Bank Indonesia: Rupiah Performs Better against Dollar Compared to India, Philippines, Thailand
Translator
Editor
11 July 2023 11:36 WIB
TEMPO.CO, Jakarta - Bank Indonesia (BI) reported that the rupiah exchange rate is performing well against the US dollar, better that a number of Asian countries' currencies including the appreciation of the Indian Rupee and Philippine Peso.
"The rupiah exchange rate is under control in line with the stabilization policy pursued by Bank Indonesia," Bank Indonesia's senior deputy governor Destry Damayanti said in a work meeting at the DPR's Budgetary Board in Jakarta, July 10.
Compared to its position at the end of 2022, the rupiah exchange rate in June 2023 strengthened by 3.84 percent, point-to-point. This is better than the appreciations recorded by the Indian Rupee and the Philippine Peso, which gained 0.86 percent and 0.72 percent respectively. Meanwhile, the Thai Baht depreciated by 1.90 percent.
However, June's position is slightly weaker by 0.68 percent on average when compared to the previous month's average, due to the uncertainty in global financial markets, Destry said. On a point-to-point basis, the monthly decline is 0.02 percent.
Destry added that the central bank estimates the rupiah appreciation will continue, supported by the current account surplus and foreign capital inflows, which is in line with Indonesia's strong prospects for economic growth, low inflation, and attractive yields on domestic financial assets.
Bank Indonesia also continues to strengthen the rupiah exchange rate stabilization policy, particularly through triple intervention and twist operations to control imported goods inflation and mitigate the risks from the spreading uncertainties in global financial markets. "Forex monetary operations continue to be reinforced, including optimizing the Term Deposit Foreign Currency Export Proceeds (TD Valas DHE), as well as increasing the frequency and tenor of short-term TD Forex auctions," she said.
MOH. KHORY ALFARIZI
Editor's Choice: Bank Indonesia Denies Reports of Rupiah Redenomination
Click here to get the latest news updates from Tempo on Google News
