Rupiah Exchange Rate Strengthens in December

TEMPO.CO, Jakarta - The Bank Indonesia Governor Perry Warjoyo reported that the rupiah exchange rate over the US dollar continues to show an upward trend. This, he said, is in line with the consistency of Bank Indonesia's monetary policy and slow-down of global economic market uncertainty.

"On Dec. 20, 2023, the rupiah exchange rate strengthened about 0.44 percent on average compared to the growth in November," he said in a meeting live-streamed on Bank Indonesia's YouTube channel on Thursday, Dec. 21, 2023.

Seeing the growth, the rupiah exchange rate strengthened by 0.37 percent compared to December 2022. The growth was better than Phillippine's peso, India's rupee, and Thailand's baht which weakened 0.05 percent, 0.53 percent, and 0.85 percent respectively.

Aside from Bank Indonesia's stabilization policy, Perry attributed the continued appreciation of the Indonesian rupiah to foreign exchanges, domestic financial assets, and positive economic prospects.

"Going forward, Bank Indonesia will remain vigilant of several risks that will potentially emerge and ensure rupiah exchange stability," the BI governor said.

The pro-market monetary operation strategy through SRBI, SVBI, and SUVBI will be optimized to increase liquidity management of domestic financial institutions and invite foreign investment.

The central bank of Indonesia will also boost coordination with the government, banking companies, and the business world to support the implementation of foreign exchange instruments per Government Regulation No. 36 of 2023.

MOH. KHORY ALFARIZI

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