BI Boss Says Rupiah Strengthened 5.34 Percent In August 2024, This Is The Trigger

Illustration (Photo: Doc Antara)

JAKARTA - Bank Indonesia (BI) Governor Perry Warjiyo revealed that the rupiah exchange rate was strengthened, supported by the Bank Indonesia monetary policy mix, increasing foreign capital inflows, and the uncertainty of the global financial market began to subside.

"The rupiah exchange rate in August 2024 (until August 20, 2024) will strengthen to IDR 15,430 per US dollar or strengthen 5.34 percent compared to the position at the end of July 2024," he explained at a press conference, Wednesday, August 21.

Perry said that the strengthening of the rupiah was higher than the appreciation of regional currencies such as Baht Thailand, Yen Japan, Peso Philippines, and Won Korea, which was only 4.22 percent, 3.25 percent, 3.20 percent, and 3.04 percent.

With these developments, Perry explained when compared to the level at the end of December 2023, the level of rupiah depreciation was smaller than the depreciation of Indian Rupees, Philippine Peso, and Korean Won.

In the future, Perry estimates that the rupiah exchange rate will still tend to strengthen in line with attractive yields, low inflation, and still good economic growth in Indonesia, as well as Bank Indonesia's policy commitments.

"All monetary instruments will continue to be optimized, including strengthening the pro-market monetary operations strategy through optimizing SRBI, SVBI, and SUVBI instruments," he said.