ID :
70586
Wed, 07/15/2009 - 19:58
Auther :
Shortlink :
https://www.oananews.org//node/70586
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RUPIAH STRENGTHENS TO NEARLY RP10,100 PER US DOLLAR
Jakarta, July 15 (ANTARA) - The rupiah sharply rose against the US dollar at the Jakarta interbank spot market on Wednesday afternoon as investors continued to buy the local currency on worries about a slump in US economic growth.
The Indonesian currency traded at Rp10,110-Rp10,120 per US dollar, up 65 points from Rp10,175-Rp10,185 per US dollar at the market's close a day earlier.
Kostaman Thayib, retail banking director of PT Bank Mega Tbk., here on Wednesday said investors tended to buy the local unit prior to the market's close.
The rupiah purchase was triggered by a negative issue from the United States on the increasing unemployment rate in the US, he said.
That factor encouraged market players to release the US greenback and buy the rupiah because the US data indicated that the US economic growth was slumping down, he said.
The significant increase of the rupiah was also boosted by Indonesia's improved economic growth rate expected to reach six percent, he said.
To achieve that high economic growth rate, the government should speed up the development infrastructure, he said.
The US budget deficit amounting to trillions of rupiah was also a factor which prompted foreign investors to release their US dollars as they were worried that their investment value might plunge, he said.
"Therefore, in the future, the rupiah still has a chance to further move upward," he siad.
The rupiah at the end of this year might reach the level of Rp9,500 per US dollar, despite worries over the prolonged global economic crisis were lingering on, he said.
He predicted that the global financial crisis was not over yet, it might even get worse. Therefore, he reminded the government to be careful in monitoring the developments further.
On Wednesday morning, the Indonesian currency traded at Rp10,150-Rp10,165 per US dollar, down 25 points from Rp10,175-Rp10,185 per US dollar at the market's close a day earlier. ***
The Indonesian currency traded at Rp10,110-Rp10,120 per US dollar, up 65 points from Rp10,175-Rp10,185 per US dollar at the market's close a day earlier.
Kostaman Thayib, retail banking director of PT Bank Mega Tbk., here on Wednesday said investors tended to buy the local unit prior to the market's close.
The rupiah purchase was triggered by a negative issue from the United States on the increasing unemployment rate in the US, he said.
That factor encouraged market players to release the US greenback and buy the rupiah because the US data indicated that the US economic growth was slumping down, he said.
The significant increase of the rupiah was also boosted by Indonesia's improved economic growth rate expected to reach six percent, he said.
To achieve that high economic growth rate, the government should speed up the development infrastructure, he said.
The US budget deficit amounting to trillions of rupiah was also a factor which prompted foreign investors to release their US dollars as they were worried that their investment value might plunge, he said.
"Therefore, in the future, the rupiah still has a chance to further move upward," he siad.
The rupiah at the end of this year might reach the level of Rp9,500 per US dollar, despite worries over the prolonged global economic crisis were lingering on, he said.
He predicted that the global financial crisis was not over yet, it might even get worse. Therefore, he reminded the government to be careful in monitoring the developments further.
On Wednesday morning, the Indonesian currency traded at Rp10,150-Rp10,165 per US dollar, down 25 points from Rp10,175-Rp10,185 per US dollar at the market's close a day earlier. ***
