Indonesia plays down threat of capital controls

JAKARTA (Reuters) - Indonesia's central bank on Wednesday played down the immediate threat of curbs on foreign investment in short-term debt after its earlier suggestion of controls hit the rupiah currency.

Deputy governor Hartadi Sarwono said late on Tuesday the central bank was considering such controls to curb hot money flows, steps already taken by Brazil and Taiwan recently. The remarks pushed the rupiah down about half a percent against the dollar in early Wednesday trade.