ID :
78436
Fri, 09/04/2009 - 17:03
Auther :
Shortlink :
https://www.oananews.org//node/78436
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RUPIAH STRENGTHENS SLIGHTLY ON MARKET`S POSITIVE SENTIMENT
Jakarta, Sept. 4 (ANTARA) - The rupiah slightly gained against the US dollar in the Jakarta interbank spot market here on Friday morning on a positive sentiment.
The Indonesian currency traded at Rp10,100-Rp10,110 per US dollar, up 10 points from its level at the market's close a day earlier.
Bank Indonesia (BI)'s decision to maintain its BI Rate at 6.5 percent bolstered the local unit to strengthen, despite the August inflation rate at 0.56 percent, which was higher than 0.45 percent a month earlier, Farial Anwar, a domestic money market observer, said here on Friday.
The central bank's decision to keep the BI Rate at 6.5 percent was capable of boosting economic growth although the commercial interest rate was tending to fall, he said.
The bank credit interest rate at present tended to decrease after 14 top banks agreed to lower its commercial interest rate in order to bolster the national economy, he said.
"we are optimistic that the top banks' decision to cut their commercial interest rate would encourage other banks to follow suit," he said.
The rupiah still had a chance to move upward further following the weakening of the US dollar against euro, he said.
Euro strengthened against the US greenback after the European Central Bank (ECB) maintained its record lowest interest rate and prompted optimistic economic prospect cautiously, he said.
It reflected stability improvement in the economic activities in Europe and other regions.
Meanwhile, Kostaman Thayib, retail banking director, believed that the Indonesian currency still had a chance to strengthen further thanks to the market's positive sentiment.
As investors continued to release the greenback, the rupiah was expected to continue to gain, he said.
The rupiah was actually adjusting itself to the market after experiencing uncertainties several weeks ago. However, its position tended to be above the level of Rp10,000 per US dollar.
He predicted the rupiah would reach the level of Rp10,000 per US dollar, in accordance with the government's macro assumption.
***
The Indonesian currency traded at Rp10,100-Rp10,110 per US dollar, up 10 points from its level at the market's close a day earlier.
Bank Indonesia (BI)'s decision to maintain its BI Rate at 6.5 percent bolstered the local unit to strengthen, despite the August inflation rate at 0.56 percent, which was higher than 0.45 percent a month earlier, Farial Anwar, a domestic money market observer, said here on Friday.
The central bank's decision to keep the BI Rate at 6.5 percent was capable of boosting economic growth although the commercial interest rate was tending to fall, he said.
The bank credit interest rate at present tended to decrease after 14 top banks agreed to lower its commercial interest rate in order to bolster the national economy, he said.
"we are optimistic that the top banks' decision to cut their commercial interest rate would encourage other banks to follow suit," he said.
The rupiah still had a chance to move upward further following the weakening of the US dollar against euro, he said.
Euro strengthened against the US greenback after the European Central Bank (ECB) maintained its record lowest interest rate and prompted optimistic economic prospect cautiously, he said.
It reflected stability improvement in the economic activities in Europe and other regions.
Meanwhile, Kostaman Thayib, retail banking director, believed that the Indonesian currency still had a chance to strengthen further thanks to the market's positive sentiment.
As investors continued to release the greenback, the rupiah was expected to continue to gain, he said.
The rupiah was actually adjusting itself to the market after experiencing uncertainties several weeks ago. However, its position tended to be above the level of Rp10,000 per US dollar.
He predicted the rupiah would reach the level of Rp10,000 per US dollar, in accordance with the government's macro assumption.
***
