Indonesian central bank says will take measured steps to safeguard rupiah after hitting fresh low


FILE PHOTO: A customer at a money changer counts Indonesian Rupiah notes in Jakarta on February 5, 2014. - AFP

JAKARTA: Indonesia's central bank will take consistent and measured steps to safeguard the rupiah, an official said on Tuesday (May 5), after the currency hit another record low earlier in the day.

Erwin Gunawan Hutapea, the head of the monetary management department at Bank Indonesia, said in a statement that the depreciation of the rupiah was in line with most other regional currencies.

"We will continue to be present in the market to ensure that market mechanisms function properly in order to maintain the stability of the rupiah exchange rate in line with its fundamental value," he said.

The central bank will optimise FX market interventions through non-deliverable forward (NDF) transactions in the offshore market, spot transactions and domestic NDF transactions, as well as purchases of government bonds in the secondary market, he added.

The rupiah had fallen 0.32 per cent to 17,420 a dollar by 0337 GMT on Tuesday. - Reuters

 

 

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Indonesia , Bank Indonesia , rupiah

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