Bank Indonesia (BI) considers the United States dollar exchange rate (US) which had translucent Rp 14,200 is still fit alias desired by the national financial market. BI Deputy Governor Dody Budi Waluyo said the weakness in the rupiah due to global pressure is still strong, as well as US economic data also experienced significant improvements.
"Some of the macro data are growing faster than we expect, and in the euro there is also a weakening that strengthens the US dollar, so this figure shows that global conditions are pulling weakness in regional currencies including Indonesia," Dody said at the Ministry of Finance.
Dody said the national monetary authority remains in the market to maintain rupiah stability by not resisting the direction of national financial market movements. Therefore, the US dollar value of Rp 14,200 is desired by the market.
"I think the current level is still fit for the rupiah, of course we keep the rupiah and foreign currency liquidity, so we intervene in the market and SUN, meaning that the current level for existing calculations means that the rupiah is the market wants at that level, try to stabilize and this stability is a fundamental value that we must see, "he explained.
Regarding when the strengthening of the US dollar occurs, Bank Indonesia does not know. What is clear, said Dody, the adjustment of the 7 Days Repo Rate reference rate into rupiah depreciation drugs.
"It's our consideration to raise 25 bps.What is the lack of data dependence, we continue to assess how the market moves, how external impacts are, and if that's why instability continues, we can make stronger strides, until when), "he added.
Nevertheless, Dody said, investors' interest in state bonds (SUN) remains high. Therefore, the spread or range of yields between government's obiligation is still at the level of 4.2-4.3%.
"It should be positive for foreign investors with no risks in the domestic market, the spread is now quite wide, depreciating around per day below 0.2-0.3% is still closing their return, growth is also still awake," he closed .