BI: Not Only The Rupiah Weaken

By : Herry Barus And Aldo Bella Putra | Saturday, July 21 2018 - 20:30 IWST

Rupiah (Foto Dok Industry.co.id)
Rupiah (Foto Dok Industry.co.id)

INDUSTRY.co.id - Jakarta - The strengthening of the US dollar as improving US economic data impacted extensively to emerging-country currencies not only hit the rupiah exchange rate on Friday, said BI Deputy Governor Erwin Rijanto.

"If you look more broadly, not only the rupiah is weakening today, but also other currencies," he told Antara in Jakarta, Friday (20/07/2018)

Erwin denied the weakening of the rupiah this Friday as market players responded negatively to the decision by the Central Bank to keep its "7 Day Reverse Repo Rate" rate at 5.25 percent. The Central Bank on Thursday through the Board of Governors' Meeting in July 2018, held its benchmark interest rate at 5.25 percent, after in the last two months hoisted up the benchmark interest rate to 100 basis points.

The benchmark Jakarta Interbank Spot Dollar Rate announced by Bank Indonesia on Friday showed rupiah traded at Rp14.520 per US dollar, down 102 points from the benchmark Thursday (19/7) of Rp.14.418 per US dollar.

CSA Research Institute senior analyst Reza Priyambada said the rupiah's movement is still weakening as the impact of the US dollar hike is still responding to the speech of Federal Reserve Governor Jerome Powell for his optimism on stable US economic growth. Powell's optimism implies a potential rise in the Federal Reserve rate two more times in the rest of the year, after a double increase in the first half of 2018.

"Although on the other hand Powell does not convey in detail the monetary policy of the Fed in the future," he said.

At the opening of trading this Friday, the exchange rate of rupiah interbank transactions also weakened 35 points to Rp14.477 compared to the previous position of Rp14.442 per US dollar.

News Comment

Today's Industry

Wellington College Independent School Jakarta (WCIJ)

Senin, 29 April 2024 - 05:02 WIB

One of the UK’s Most Established Schools Chooses Jakarta for Their Latest Opening

Wellington College Independent School Jakarta (WCIJ) is thrilled to announce its grand opening in September 2024! As the first private UK school to open in Indonesia, WCIJ, a pioneering co-educational…

Presiden Jokowi

Selasa, 23 April 2024 - 10:29 WIB

President Jokowi Reaffirms Commitment to Farmers’ Welfare

President Joko “Jokowi” Widodo on Monday (04/22) inspected corn harvest in Boalemo regency, Gorontalo province. “Our corn import has decreased significantly from 3.5 million tonnes to…

Photo: Aris Nurjani/VOI

Rabu, 28 Februari 2024 - 12:47 WIB

Carsurin and NBRI Strengthen Strategic Alliance to Propel Indonesia’s EV Industry

PT Carsurin Tbk ("Carsurin") and the National Battery Research Institute ("NBRI") are pleased to announce the signing of a pivotal Strategic Alliance Agreement (SAA), marking a significant advancement…

Beras (Foto/Rizki Meirino)

Rabu, 21 Februari 2024 - 08:43 WIB

Gov’t to Continue Disbursing Rice Assistance

President Joko “Jokowi” Widodo has ensured that the Government will continue rolling out the rice assistance program for low-income families. The President made the statement when handing…

Ilustrasi pabrik beras. (Foto: DetikFood)

Rabu, 21 Februari 2024 - 08:40 WIB

Bapanas Head Ensures Availability of Rice Stock Ahead of Ramadan

The National Food Agency (Bapanas) has ensured the availability of rice for the fasting month of Ramadan and Eid al-Fitr 1445 Hijri/2024 CE. “We believe that there is enough rice for the fasting…