Domestic factors were positive as Indonesia posted a USD $1.5 billion trade surplus in December 2013, thus positively impacting on the country's trade and current account deficits. Meanwhile, inflation eased to 8.22 percent (year on year) in January 2014 as the monthly inflation rate in the first month of the year was 1.07 percent. However, analyst of Danareksa Sekuritas Lucky Bayu Purnomo expects that the rupiah will continue to decline up to IDR 12,300 until April when the legislative election will be held.

The central bank's mid rate (the Jakarta Interbank Spot Dollar Rate or JISDOR) depreciated 0.2 percent to IDR 12,251 per US dollar on Monday (03/02).

| Source: Bank Indonesia