Ada Pertanyaan? Hubungi Kami 
Ada Pertanyaan? Hubungi Kami Fathan Qorib, Robert Sidauruk
Agus Martowardojo, Governor of Bank Indonesia (BI), has ensured that his institution will continue intense coordination with the Government to address the trend towards a decline in foreign-exchange reserves. These reserves fell slightly from USD 107.26 billion to USD 105.15 billion in April to May this year.
“We are currently coordinating with the Government to discuss a series of actions that need to be taken to maintain reserves at an appropriate level,” said Agus in Jakarta last Friday.
However, Agus could not give any further details on the foreign-exchange reserve figures recorded by BI for June 2013. He said that BI will release thisinformation soon.
Furthermore, Agus stated that coordination is also needed to keep inflation below 7.2%. Due to ongoing discussions, Agus was unable to explain whether the approach would be to increase or decrease the BI rate to address current inflation.
“The exact BI rate level will be decided at a Board of Governors meeting,” Agus added.
On a different occasion, Peter Jacobs, Director of Communications at BI also commented on the reserves issue. He said that foreign-exchange reserves are still adequate and sufficient to support the stability of the rupiah exchange against the US dollar.
“Our foreign-exchange reserves are above the international standard requirements,” Jacobs asserted.
Jacob further noted that BI has never set a lower threshold for foreign-exchange reserves. This rebutted rumors from many circles claiming a lower threshold for foreign-exchange reserves at USD 100 billion.
In respect to the BI rate, Tony Prasetiantono, an economist at Gadjah Mada University, suggests BIshould increase the BI rate from 6% to 6.25%. Such an increase, as Tony explained, is important to reduce inflation exposure resulting from the recent hike in fuel prices.
“Recent inflation has resulted in banks experiencing difficulty in stemming cash withdrawasl from costumers who havemoved their their cash holdings into dollars, the capital market or other instruments,” Tony concluded.
(hot/kc)
Fathan Qorib, Robert Sidauruk
Agus Martowardojo, Governor of Bank Indonesia (BI), has ensured that his institution will continue intense coordination with the Government to address the trend towards a decline in foreign-exchange reserves. These reserves fell slightly from USD 107.26 billion to USD 105.15 billion in April to May this year.
“We are currently coordinating with the Government to discuss a series of actions that need to be taken to maintain reserves at an appropriate level,” said Agus in Jakarta last Friday.
However, Agus could not give any further details on the foreign-exchange reserve figures recorded by BI for June 2013. He said that BI will release thisinformation soon.
Furthermore, Agus stated that coordination is also needed to keep inflation below 7.2%. Due to ongoing discussions, Agus was unable to explain whether the approach would be to increase or decrease the BI rate to address current inflation.
“The exact BI rate level will be decided at a Board of Governors meeting,” Agus added.
On a different occasion, Peter Jacobs, Director of Communications at BI also commented on the reserves issue. He said that foreign-exchange reserves are still adequate and sufficient to support the stability of the rupiah exchange against the US dollar.
“Our foreign-exchange reserves are above the international standard requirements,” Jacobs asserted.
Jacob further noted that BI has never set a lower threshold for foreign-exchange reserves. This rebutted rumors from many circles claiming a lower threshold for foreign-exchange reserves at USD 100 billion.
In respect to the BI rate, Tony Prasetiantono, an economist at Gadjah Mada University, suggests BIshould increase the BI rate from 6% to 6.25%. Such an increase, as Tony explained, is important to reduce inflation exposure resulting from the recent hike in fuel prices.
“Recent inflation has resulted in banks experiencing difficulty in stemming cash withdrawasl from costumers who havemoved their their cash holdings into dollars, the capital market or other instruments,” Tony concluded.
(hot/kc)