Indonesia’s Forex Reserves Decline Around $400m in August
In this article (4)
Indonesia’s foreign exchange reserves slipped around $400 million in August to $117.9 billion, Bank Indonesia said last Friday, partly because of the central bank’s intervention to defend the rupiah.
The rupiah has lost around 9 percent of its value so far this year. The currency was trading around its weakest levels in 20 years this week, closing at 14,815 per dollar on Friday.
The end-August reserves level, sufficient to meet 6.8 months of imports, “remained adequate as they will be supported by our confidence in stability, better economic prospect and positive export performance,” the central bank said in a statement.
From February until August, the reserves had declined $14.1 billion.
Questions & Answers
Q.What is the total value of Indonesia's foreign exchange reserves after the decline in August?
What is the total value of Indonesia's foreign exchange reserves after the decline in August?
Following the around $400 million decline in August, Indonesia's foreign exchange reserves stood at $117.9 billion. This figure was confirmed by Bank Indonesia last Friday.
Q.What was the primary reason cited for the recent decline in Indonesia's foreign exchange reserves?
What was the primary reason cited for the recent decline in Indonesia's foreign exchange reserves?
Bank Indonesia stated that the decline in foreign exchange reserves was partly due to the central bank's intervention. This intervention aimed to defend the rupiah, which has weakened significantly.
Q.How much value has the rupiah lost against the dollar over the course of the current year?
How much value has the rupiah lost against the dollar over the course of the current year?
The rupiah has experienced a significant depreciation against the dollar this year, losing around 9 percent of its value. It was trading near its weakest levels in 20 years this week.
Reader pulse
What's your biggest concern with rupiah's weakness?
18,301 votes so far