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BI Hopes Jokowi Effect Continues

Translator

Editor

19 October 2018 18:56 WIB

Indonesian President Joko Widodo gestures to the crowd during a street parade following his inauguration in Jakarta, Indonesia (10/20). Newly inaugurated Indonesian President Joko "Jokowi" Widodo and Vice President Jusuf Kalla are being greeted by hundreds of thousands of people along Jalan Sudirman on Monday. AP/Achmad Ibraham

TEMPO.CO, Surakarta – The nation's financial market has welcomed the presidential inauguration of Joko “Jokowi” Widodo and his running-mate, Jusuf “JK” Kalla, as stock prices and the rupiah exchange rate showed positive trends, Bank Indonesia deputy governor Perry Warjiyo said on Monday, October 20, 2014.

According to Perry, investors are expecting positive news related to Jokowi’s cabinet and concrete steps during his tenure.

Perry admitted there the market saw a negative trend during the simmering political rivalry after the July 9 presidential election. He added foreign investors were also questioning Jokowi's chance in successfully executing his programs. However, the trend improved when Jokowi met Aburizal Bakrie and Prabowo Subianto recently.

Perry asserted that Bank Indonesia would work with the new government to maintain stable prices and  the rupiah exchange rate, as well as to curtail the current account deficit.

“We’re hoping the government can expand the fiscal space that is currently limited due to the high subsidy for fuel and electricity,” Perry said.

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