ID :
68682
Thu, 07/02/2009 - 14:06
Auther :
Shortlink :
https://www.oananews.org//node/68682
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RUPIAH STRENGTHENS TO NEARLY RP10,100 PER US DOLLAR
Jakarta, July 2 (ANTARA) - The rupiah strengthened to nearly Rp10,100 per US dollar at the Jakarta interbank spot market, as investors purchased the local currency following a positive report issued by the Central Bureau of Statistics (BPS).
The Indonesian currency traded at Rp10,135-Rp10,145 per US dollar, up 45 points from Rp10,180-Rp10,195 at the market's close a day earlier.
The rupiah was mainly boosted by a report on positive internal developments issued by BPS, according to Farial Anwar, a domestic money market observer, here on Thursday.
BPS reported that the annual inflation rate sharply decreased to 3.64 percent from 6.04 percent earlier, although the monthly inflation slightly increased to 0.11 percent from 0.04 percent.
"We are optimistic the rupiah would be able to reach the level of Rp10,000 per US dollar if the present market condition continues," he said.
The better inflation rate would encourage Bank Indonesia (BI, the country's central bank) to further lower its BI Rate, which was still quite high, he said.
Bank credit interest, which was still at between 14 and 18 percent, was expected to decrease soon in order to boost the economic growth rate faster, he said.
The money market was also still positive thanks the smooth implementation of the electoral campaign rallies in the runup to the upcoming presidential election, he said.
Foreign investors were becoming more confident that Indonesia was still a potential market to get better profit, he said.
Previously, foreign investors were more cautious in placing their funds in the domestic market in the runup to the presidential election. However, after noticing that the campaigning activities were smooth and peaceful, they became active again in the money market, he explained.
"We are optimistic that the rupiah will move upward to the level of Rp9,500 per US dollar at the end of this year," he said.***
The Indonesian currency traded at Rp10,135-Rp10,145 per US dollar, up 45 points from Rp10,180-Rp10,195 at the market's close a day earlier.
The rupiah was mainly boosted by a report on positive internal developments issued by BPS, according to Farial Anwar, a domestic money market observer, here on Thursday.
BPS reported that the annual inflation rate sharply decreased to 3.64 percent from 6.04 percent earlier, although the monthly inflation slightly increased to 0.11 percent from 0.04 percent.
"We are optimistic the rupiah would be able to reach the level of Rp10,000 per US dollar if the present market condition continues," he said.
The better inflation rate would encourage Bank Indonesia (BI, the country's central bank) to further lower its BI Rate, which was still quite high, he said.
Bank credit interest, which was still at between 14 and 18 percent, was expected to decrease soon in order to boost the economic growth rate faster, he said.
The money market was also still positive thanks the smooth implementation of the electoral campaign rallies in the runup to the upcoming presidential election, he said.
Foreign investors were becoming more confident that Indonesia was still a potential market to get better profit, he said.
Previously, foreign investors were more cautious in placing their funds in the domestic market in the runup to the presidential election. However, after noticing that the campaigning activities were smooth and peaceful, they became active again in the money market, he explained.
"We are optimistic that the rupiah will move upward to the level of Rp9,500 per US dollar at the end of this year," he said.***
