Analyst: Impact Of Prabowo-Gibran Inauguration, Rupiah's Currency Will Strengthen Tomorrow

Illustration. (Photo: Doc. Antara)

JAKARTA - Currency analyst Lukman Leong estimates that the rupiah will strengthen on Monday, October 21, or after the inauguration of President and Vice President Prabowo Subianto and Gibran Rakabuming Raka.

According to him, the inauguration of the President and Vice President of the Republic of Indonesia, which went smoothly became a positive sentiment for the movement of the rupiah in the future, so that the rupiah is projected to strengthen in the range of Rp. 15,400 to Rp. 15,500 per US dollar.

"The domestic sentiment is quite positive for a smooth inauguration," said Lukman, quoted from Antara, Sunday, October 20.

Prabowo and Gibran took the oath of office as President and Vice President of the Republic of Indonesia for the 2024-2029 term of service at the MPR RI Plenary Session at the Nusantara Building, Parliament Complex, Jakarta, Sunday.

A total of 709 of the 731 MPR members witnessed the procession of taking the oath of office. The MPR RI Plenary Session was also attended by national figures, leaders of political parties, and representatives of friendly countries.

There are at least 20 officials at the head of state level and 18 ministerial-level officials attending the inauguration ceremony at the Nusantara Building.

Furthermore, Lukman said the rupiah would be supported by positive sentiments at home and abroad. The US dollar is corrected by the sentiment of risk on investors who responded positively to the stimulus in China.

In addition to support for the real estate sector, the stimulus in China is also in the form of an injection of 112 billion US dollars by the Chinese central bank People's Bank of China (PBoC) to the Chinese equity market.

Previously, the rupiah exchange rate against the US dollar on Friday, October 18, closed higher ahead of the inauguration of President-elect Prabowo Subianto and the announcement of his cabinet structure.

At the end of trading Friday, October 18, the rupiah rose 26 points or 0.17 percent to Rp15,481 per US dollar from the previous Rp15,507 per US dollar.