• Indonesia's Rupiah Outperforming Global Currencies, Risks Remain

    The Indonesian rupiah has become the center of attention being the strongest emerging market currency (tracked by Bloomberg) so far this year. Indonesia's currency has appreciated 4.97 percent (spot market) against the US dollar since the start of 2016, outperforming the Brazilian real and Malaysian ringgit. Meanwhile, Indonesian government and central bank officials say they are committed to encourage further strengthening of the rupiah. On Friday (04/03), Bank Indonesia's benchmark rupiah rate (Jakarta Interbank Spot Dollar Rate, abbreviated JISDOR) appreciated 0.76 percent to IDR 13,159 per US dollar.

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  • Indonesia's Consumer Confidence Slightly Weaker in February 2016

    Indonesia's consumer confidence regarding the country's macroeconomic conditions weakened in February 2016. Bank Indonesia's Consumer Confidence Index dropped 2.6 points to 110. The survey indicates that there are two reasons that explain this decline. Firstly, lower optimism about current economic conditions of Indonesia and, secondly, lower optimism regarding job availability over the next six months. Bank Indonesia's monthly survey is based on data provided by 4,600 households in 18 Indonesian cities across the archipelago.

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  • Indonesian Rupiah: King of Emerging Market Currencies in 2016?

    The Indonesian rupiah continues to appreciate sharply. By 13:15 pm local Jakarta time on Friday (04/03), Indonesia's currency had appreciated 0.96 percent to IDR 13,105 per US dollar (Bloomberg Dollar Index), its strongest level since May 2015. Meanwhile, Bank Indonesia's benchmark rupiah rate (Jakarta Interbank Spot Dollar Rate, abbreviated JISDOR) appreciated 0.76 percent to IDR 13,159 per US dollar. What explains this strong performance of the rupiah?

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  • Bank Central Asia (BCA) Sees Solid Net Profit Growth in 2015

    Bank Central Asia (BCA), one of the largest banks in Indonesia, saw its net profit rise 9.3 percent year-on-year (y/y) to IDR 18 trillion (approx. USD $1.4 billion) in 2015, supported by strong loan growth and the relatively low cost of funds. Meanwhile, BCA's net interest income, the difference between interest earned and interest paid, grew 12 (y/y) to IDR 35.9 trillion (approx. USD $2.7 billion) and non-interest income, which includes fees such as deposit and transaction fees, rose 28.5 percent (y/y) to IDR 12 trillion (approx. USD $909 million).

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