RUPIAH STRENGTHENS AGAINST US DOLLAR LATE THURSDAY

Jakarta, March 10 (ANTARA) - The rupiah sharply advanced against the US dollar in the Jakarta interbank spot market here on Thursday afternoon, as market players purchased the local currency and released the greenback.
"Market players believe it's time to buy rupiah following a Middle East investor (QTel)'s successful bid for PT Indosat Tbk. shares," president director of PT Financorpindo Nusa Edwin Sinaga said here on Tuesday.
The Indonesian currency traded at Rp11,975/12,070 per US dollar, up 130 points from Rp12,110/12,115 at the market's close a day earlier.
Qatar Telecom (QTel) had completed purchases of additional shares of PT Indosat Tbk. through two tender offers simultaneously held in Indonesia and the United States. QTel increased its share ownership from 40.81 percent to 65 percent in Indonesia's second largest telecommunication company.
The entry of foreign funds in the domestic market encouraged market players to buy the local currency, he said.
"We are optimistic the rupiah could rise further, moreover Bank Indonesia (BI, the country's central bank) is ready to protect and monitor the rupiah's movement," he said.
BI was ready to intervene in the domestic money market when necessary in order to prevent the local currency from tumbling, he said.
Moreover, BI had increased its foreign exchange reserves from US$51 billion to US$53.7 billion, he said.***2***