Friday, 27 November 2020 | 15:07 WIB

Bappenas Confident Investors can Distinguish from Turkish Crisis Following Rupiah Slump

Minister of National Development Planning / Head of Bappenas Bambang Brodjonegoro

JAKARTA NNC - Minister of National Development Planning / Head of Bappenas Bambang Brodjonegoro hopes that investors will be able to differentiate the main issue towards the weakening of rupiah. This is believed to be prompted by the slumping of the Turkish currency over US intervention.

Bambang says the government is prepared with all policies to deal with the Turkish crisis. He is confident that Indonesia has taken care of the current central bank.

"Hopefully what we do gives a different perception from Turkey due to an intervention by the government to the central bank. Meanwhile, we are relatively independent," Bambang said in his office on Monday, Aug 27.

Bambang added that the inflation range in the rupiah was at the 4 percent level, while the lira was much higher. In addition, Bambang said, there have been many analyzes saying that Indonesia has the same economic climate as Turkey. Bambang denied the statement, because there are plenty of fundamental differences when viewed from an economic indicator.

"But our perceptions are considered different as we have central bank independence. Second, we have better inflation. Turkey has a double-digit inflation, while our inflation is only around 3-4 percent. This is an extraordinary difference," he said.