President Susilo Bambang Yudhoyono made progress on his bid to appoint Indonesia Finance Minister Agus Martowardojo the next central bank chief as a parliamentary panel agreed to put the candidate through a fit-and-proper test.
Indonesia’s plan for guidelines on acquiring land for infrastructure projects and a boost to the nation’s credit rating augur improved prospects for investment in the world’s fourth-most populous country.
Indonesia’s inflation rate climbed for a third month in June as the end of the harvest season crimped food supplies, an increase that may not be sufficient to trigger an interest-rate increase next week.
The Philippines and Indonesia will probably refrain from monetary tightening to protect their economies from a regional growth slowdown that’s sparked capital outflows and driven down stocks and currencies.
Indonesian lawmakers yesterday approved Finance Minister Agus Martowardojo to become the next central bank governor after he said his priorities would be a stable exchange rate and keeping inflation low.
Indonesia’s rupiah and stocks fell for a fourth day after yesterday’s surprise interest-rate rise fueled speculation current-account data today will show little improvement from the second quarter’s record deficit.
The failures of 10 rupiah sukuk auctions this year are prompting Indonesia’s finance ministry to revive demand for its Islamic debt by tapping international investors and possibly changing its sales practices.