Senior Bank Indonesia Board of Governors member Destry Damayanti stated that the press conference held this morning regarding the 2025 State Budget Plan (APBN) has successfully helped to mitigate the recent depreciation of the rupiah.
During the conference, attended by Coordinating Minister for Economic Affairs Airlangga Hartarto, Finance Minister Sri Mulyani, and Financial Sector Member of the Government Transition Task Force Thomas Djiwandono or Tommy Djiwandono, the Garuda currency closed stronger for the day.
“The press conference between current and upcoming government representatives had a significant impact. The market is more stable and the rupiah strengthened today,” Destry mentioned during a meeting with Commission XI of the DPR RI in Jakarta on Monday.
She explained that the government’s clarification provided reassurance to investors regarding Indonesia’s fiscal management, leading to increased market confidence and strengthening of the rupiah compared to neighboring countries.
Refinitiv reported that the Indonesian rupiah finally strengthened against the US dollar after several days of decline, closing at Rp16,390/US$ on Monday, breaking through the Rp 16,400/US$ level. Previously, the rupiah had reached its lowest point at Rp16,470/US$.
At 3:00 PM WIB, the Dollar Index (DXY) dropped to 105.67, a decrease of 0.12 compared to the previous day’s close of 105.79.
During the morning’s press conference at the central office of the Directorate General of Taxes, Ministry of Finance, Airlangga Hartarto, Sri Mulyani, and Tommy Djiwandono emphasized the good communication between President Joko Widodo’s administration and the synchronization team of President-elect Prabowo Subianto.
Sri Mulyani assured that Prabowo’s flagship programs, such as free nutritious meals, are included in the 2025 State Budget draft without causing the fiscal deficit to increase. Additionally, Thomas Djiwandono confirmed the incoming president’s commitment to adhere to the deficit limit in the state budget and continue disciplined fiscal management.
Source: CNBC Indonesia
