Rupiah weakens to Rp18.099 after BI governor resignation
Markets are awaiting a permanent BI governor after Destry Damayanti was named acting chief, a move seen as limiting policy disruption.
The rupiah weakened again against the U.S. dollar on Wednesday morning, falling 16 points to Rp18.099 per U.S. dollar after closing the previous day at Rp18.083. The decline followed market reaction to the sudden resignation of Bank Indonesia Governor Perry Warjiyo, which was seen as adding uncertainty amid exchange-rate pressure, foreign capital outflows and the potential for global interest rates to stay elevated. Currency analyst Ibrahim Assuaibi said the appointment of Destry Damayanti, also BI Senior Deputy Governor, as acting head offered some optimism because it preserved policy continuity. S&P Global Ratings said the resignation had no direct impact on Indonesia's debt rating, but it could add risks to the policy outlook.