Jakarta (Antara Bali) - The rupiah exchange rate has been strengthening against the US dollar over the past few days, and the trend will continue despite this year's parliamentary and presidential elections, a University of Gadjah Mada's noted economist said.
"The prospect of gaining continuing stability is bright. Different from countries like Thailand and Turkey, which are undergoing political instability, Indonesia looks stable and ready for facing the elections," A Tony Prasetiantono revealed in his article.
In the article published by Kompas daily on Thursday, he argued that Indonesia's political stability would be the key for sustainable stability and strengthening of rupiah exchange rate against the greenback.
Tony Prasetiantono, currently heading UGM's Economics and Public Policy Study Center (PSEKP), further argued that Indonesia had been experienced with political instability that had damaged its economy in 1998.
"We don't want it to reoccur. Now, we have been mature enough and able to undergo such that situation. We must use the momentum of upcoming elections for forming a better government and having a new president with strong leadership," he said.
In late Monday trading, the Indonesian rupiah edged up 68 points to reach Rp11,662 against the dollar after the news of an evident weakness in the US housing market, Monex Investindo Futures Research Chief Ariston Tjendra said.
The US housing data had a negative impact on the dollar, causing the currencies of developing countries, including the rupiah, to edge stronger, he said.
The rupiah appreciation continued to the level of 11,653 per US dollar in Wednesday trading thanks to Indonesia's improving economy, Financial observer Rully Nova of Bank Himpunan Saudara said.
Bank Indonesia's Executive Director for Economic and Monetary Policies Doddy Budi Waluyo earlier expressed his belief in the rupiah appreciation against the greenback.
Despite the parliamentary and presidential elections, due to be held in Apil and July, the rupiah would regain more values against the dollar as a result of the country's improving fundamental economic conditions as revealed by declining current account deficit and controllable inflation rate. (*/DWA)
COPYRIGHT © ANTARA News Bali 2014
"The prospect of gaining continuing stability is bright. Different from countries like Thailand and Turkey, which are undergoing political instability, Indonesia looks stable and ready for facing the elections," A Tony Prasetiantono revealed in his article.
In the article published by Kompas daily on Thursday, he argued that Indonesia's political stability would be the key for sustainable stability and strengthening of rupiah exchange rate against the greenback.
Tony Prasetiantono, currently heading UGM's Economics and Public Policy Study Center (PSEKP), further argued that Indonesia had been experienced with political instability that had damaged its economy in 1998.
"We don't want it to reoccur. Now, we have been mature enough and able to undergo such that situation. We must use the momentum of upcoming elections for forming a better government and having a new president with strong leadership," he said.
In late Monday trading, the Indonesian rupiah edged up 68 points to reach Rp11,662 against the dollar after the news of an evident weakness in the US housing market, Monex Investindo Futures Research Chief Ariston Tjendra said.
The US housing data had a negative impact on the dollar, causing the currencies of developing countries, including the rupiah, to edge stronger, he said.
The rupiah appreciation continued to the level of 11,653 per US dollar in Wednesday trading thanks to Indonesia's improving economy, Financial observer Rully Nova of Bank Himpunan Saudara said.
Bank Indonesia's Executive Director for Economic and Monetary Policies Doddy Budi Waluyo earlier expressed his belief in the rupiah appreciation against the greenback.
Despite the parliamentary and presidential elections, due to be held in Apil and July, the rupiah would regain more values against the dollar as a result of the country's improving fundamental economic conditions as revealed by declining current account deficit and controllable inflation rate. (*/DWA)
Editor : Dewa Sudiarta Wiguna
COPYRIGHT © ANTARA News Bali 2014