Latest news with #FitraJusdiman
Zawya
26-03-2025
- Business
- Zawya
Bank Indonesia says ready to stabilise rupiah, which is near 27-year low
The Indonesian central bank said it is ready to intervene to stabilise the rupiah, which on Wednesday stayed close to its lowest levels since 1998 even as officials said market sentiment was positive and economic fundamentals were resilient. There was positive sentiment in domestic stocks, bonds and the foreign exchange market, said Fitra Jusdiman, Bank Indonesia's director of monetary and securities asset management. He would not comment on whether the central bank had intervened on Wednesday, but said BI always monitored the market and was ready to step in to support the rupiah. On Tuesday, the rupiah weakened past 16,600 per dollar to hit its lowest levels since the Asian financial crisis in 1998. The rupiah was trading at 16,585 per dollar as of 0738 GMT on Wednesday, LSEG data showed. The economy remains fundamentally resilient, Solikin M. Juhro, BI's head of macroprudential policy, told reporters, citing economic growth of around 5%, low inflation and manageable foreign loans. "Fundamentally, we remain well," he said, adding Indonesia is "totally different" and more resilient now than it was in 1998 during the Asian Financial Crisis. Chief economic minister Airlangga Hartarto separately told reporters the country's economic fundamentals remain strong despite the rupiah's drop. (Reporting by Stefanno Sulaiman; Editing by John Mair)
Reuters
26-03-2025
- Business
- Reuters
Bank Indonesia says ready to stabilise rupiah, which is near 27-year low
JAKARTA, March 26 (Reuters) - The Indonesian central bank said it is ready to intervene to stabilise the rupiah, which on Wednesday stayed close to its lowest levels since 1998 even as officials said market sentiment was positive and economic fundamentals were resilient. There was positive sentiment in domestic stocks, bonds and the foreign exchange market, said Fitra Jusdiman, Bank Indonesia's director of monetary and securities asset management. He would not comment on whether the central bank had intervened on Wednesday, but said BI always monitored the market and was ready to step in to support the rupiah. On Tuesday, the rupiah weakened past 16,600 per dollar to hit its lowest levels since the Asian financial crisis in 1998. The rupiah was trading at 16,585 per dollar as of 0738 GMT on Wednesday, LSEG data showed. The economy remains fundamentally resilient, Solikin M. Juhro, BI's head of macroprudential policy, told reporters, citing economic growth of around 5%, low inflation and manageable foreign loans. "Fundamentally, we remain well," he said, adding Indonesia is "totally different" and more resilient now than it was in 1998 during the Asian Financial Crisis. Chief economic minister Airlangga Hartarto separately told reporters the country's economic fundamentals remain strong despite the rupiah's drop.
South China Morning Post
25-03-2025
- Business
- South China Morning Post
Indonesia's rupiah sinks to lowest since Asian financial crisis as US tariff deadline nears
The Indonesian rupiah pared losses after the country's central bank intervened to prop up the currency from its weakest level since the Asian financial crisis. Advertisement The rupiah fell 0.5 per cent to 16,642 against the US dollar earlier on Tuesday, its weakest since June 1998, before narrowing the decline. The currency has slumped more than 3 per cent this year, making it one of the worst performers in emerging markets. Bank Indonesia (BI) intervened in the spot foreign exchange, domestic non-deliverable forwards and bond markets to stabilise the rupiah, the central bank's director for monetary management and asset securities Fitra Jusdiman said in a text message on Tuesday. The central bank intervened 'boldly and measuredly' to ensure balanced FX supply and demand, and maintain confidence in the domestic market, Jusdiman wrote. The rupiah's weakening is mainly due to global uncertainties, including Donald Trump's tariffs and a potentially more hawkish Federal Reserve, Jusdiman added. Indonesia , one of the region's favourite markets just a year ago, has quickly lost its appeal with global investors as concerns grow over the sustainability of the nation's economic policies. Advertisement President Prabowo Subianto has chipped away at long-established guardrails with populist measures that threaten to push the budget deficit closer to its legal limit of 3 per cent of gross domestic product. Parliament also agreed to expand the role of the military , rolling back some of the safeguards that were put in place shortly after the fall of former dictator – and Prabowo's ex-father-in-law – Suharto in 1998.
Reuters
19-03-2025
- Business
- Reuters
Indonesia takes currency, stock market measures after rupiah and index fall
JAKARTA, March 19 (Reuters) - Indonesia's financial services regulator has allowed listed companies to buy back their stocks without shareholders approval, while the central bank conducted bold currency intervention to calm markets, officials said on Wednesday. The moves came after the main stock index (.JKSE), opens new tab fell as much as 7.1% on Tuesday pressured by concerns over the government's fiscal strategy and growth prospects. The index recovered slightly on Wednesday. The rupiah extended losses on Wednesday, falling by as much as 0.7%. The currency was hit by spillover impact from Tuesday's drop in the stock market as well as global factors, Bank Indonesia's director of monetary and securities asset management Fitra Jusdiman told Reuters. "BI has and will continue to take anticipatory, mitigatory response to ensure stability in the rupiah exchange rate, maintain FX supply-demand, including by intervening in a bold and measured way," he said. The financial regulator's new buyback rules are effective for six months and are intended to shore up market confidence, said Inarno Djajadi, chief regulator for the capital market at the Indonesia Financial Services Authority. "We hope to give a positive signal that companies have good fundamentals, to provide market confidence to investors as well as give flexibility to listed companies to conduct corporate actions to reduce share volatility," Inarno told a press conference. The announcement comes hours before the central bank is due to hold a press conference on its monetary policy review. Most economists polled by Reuters expect BI to keep rates unchanged to prioritise rupiah stability.
