The Indonesian rupiah appreciated further to 16,230 against the US dollar on Friday, following an earlier 16,230, after news that Indonesian central bank (Bank Indonesia/B.I.) has no plan to adopt capital control measures amid mounting fears over the economic damage from the COVID-19 cases, and that the country’s foreign exchange reserve is more than enough to support the currency.
B.I. governor Perry Warjiyo recently mentioned that the central bank has several bilateral swap arrangement with a number of other central banks, including a US$30 billion arrangement with China’s central bank, as a second line of defense to guard the rupiah. Meanwhile, the government on Thursday said that around US$3.85 billion in government spending will be shifted to finance the virus response.