What Analysts Say About Bank Indonesia’s Rate Increase Surprise. As risks from the external sector, driven by the U.S. Federal Reserves signal to increase interest rates. Furthermore, trade tensions will most likely worsen Indonesias current-account balance
Having said that, Indonesia remains fundamentally robust while bond and currency valuations appear cheap, particularly when Treasury yields continue the existing trend of decline. Therefore, the core from the Data Berita Rekomendasi Analisa Market volatility is driven more by external events instead of internal weaknesses
Ahead of the Curve.
Evan Lie Hadiwidjaja, head of equity research at Sinarmas Sekuritas:
The current market will likely be satisfied with the 50 basis-point hike since it shows a large dedication to rupiah stability and consistency toward being pre-emptive, front-loading, and ahead of the curve. On another note, BI continues to keep a “pro-growth” stance through macro prudential policy: LTV relaxation. The two catalysts combined may boost consumer confidence as rupiah will stabilize while growth is still maintained
Not the final.
Saktiandi Supaat, head of foreign-exchange research at Malayan Banking Bhd. in Singapore:
Due to the rising risk aversion – and Treasury yields look set to carry on for some time longer and weigh on the rupiah – todays increase, though a lot more than expected, could possibly not mark the end for the requirement to continue the tightening cycle
The rate increase comes against a backdrop of continued weak economic growth and subdued inflation, and clearly indicates the main focus of the central bank is boosting the rupiah.
A brand new chapter inside the background of Bank Indonesia as an independent Central Bank in performing its duties and authorities began whenever a new law, concerning Bank Indonesia will be declared valid on May 17, 1999 and as amended by Act from the Republic of Indonesia. This law offers the status and status of an independent state institution in the performance of their duties and authorities, free from interference from the Government or other parties, except for those expressly provided for in the law, this law.
Bank Indonesia (BI) will be the central bank in the Republic of Indonesia. Agus Martowardojo, formerly the finance minister, will be the current governor. The final governor before Saham Murah Fundamental Bagus was Darmin Nasution who resigned at 23 May 2013. Agus Martowardojo was sworn in by president Susilo Bambang Yudhoyono on 23 May 2013. Finance Minister Sri Mulyani Indrawati was proposed being a candidate for governor of BI in 2009. However, the suggestion did not proceed and she later left the cabinet on 5 May 2010 and moved to everyone Bank Group as Managing Director. By 26 March 2013, panel of Indonesian parliament member approved Finance Minister Agus Martowardojo to be the central bank governor.
Bank Indonesia has full autonomy in formulating and executing all of its duties and authorities as defined inside the law. Outsiders usually are not allowed to hinder the performance of the duties of Bank Indonesia, and Bank Indonesia can also be obliged to refuse or ignore any intervention from the party. Such special status and status must enable Bank Indonesia to perform its role and function as being a monetary authority more efficiently and efficiently.
Bank Indonesia Liquidity Support is definitely an Indonesian government policy which had been formulated with Bank Indonesia inside the crisis period and executed by Bank Indonesia to rescue the monetary and banking system as well as rquipd economy overall. It was partly based on the instruction and command in the President in the limited meeting of economic, finance, and development supervision and production and distribution on 3 September 1997.
It is hereby informed that your selection of candidate selection of Bank Indonesia Officers of 2017 has been completed. The names of participants who pass the ultimate selection and they are accepted as candidates for Lunch At Batik Restaurant Bar Seminyak can be viewed inside the attached list of names. Caption: Official notice regarding caused by the selection is sent by email to each participant who has followed the selection up until the final interview stage. Your decision and determination of the consequence of the selection is entirely the authority of Bank Indonesia and may not contested. There is not any charge within the recruitment procedure for Bank Indonesia employees.