• What Impacts on the Indonesian Rupiah Today? Fed, China, Greece & Inflation

    After Federal Reserve Chairwoman Janet Yellen indicated that the US central bank will be patient in raising the interest rate environment in the world’s largest economy, Indonesian assets gained on Wednesday (25/02). Both the benchmark Jakarta Composite Index and rupiah exchange rate strengthened 0.51 percent yesterday. Apart from increased speculation that the Fed will not raise interest rates before summer, expectation that Greece will avoid a disastrous default brought more positive market sentiments.

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  • Coal Mining News: Indonesia Plans to Raise Coal Royalties in March

    Bad news for Indonesian coal miners as the government of Indonesia plans to raise coal royalties in March 2015 in a bid to increase revenue from the natural resources sector. Apart from raising royalties, the government will also implement measures to enhance monitoring in the coal mining sector (as illegal coal shipments and tax avoidance are a major problem). The plan to nearly double coal royalties are particularly expected to impact negatively on smaller miners and new firms that focus on the production of low-quality coal.

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  • Indonesia Conference Fitch Ratings: “An Agenda for Change”

    International credit rating agency Fitch Ratings will host its annual Indonesia conference, with the theme “An Agenda for Change”, on Thursday 5 March 2015. This year’s theme refers to the ongoing process of reform amid political, economic and social challenges in Southeast Asia’s largest economy. High government officials, leading economists and investors will take part in this conference. For example, Indonesian Finance Minister Bambang Brodjonegoro is scheduled to make the opening keynote speech.

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  • Rupiah Indonesia Update: Falling towards IDR 13,000 per US Dollar

    Indonesia’s rupiah depreciated to its lowest level since mid-December 2014 nearly touching the psychological level of IDR 13,000 per US dollar ahead of Federal Reserve Chairwoman Janet Yellen appearance before the US Senate Banking Committee and the US Congress (in a two-day meeting) to elaborate on the Fed’s stance on US interest rates. As US jobless claims fell more than expected, analysts believe that it will not take long before the US central bank introduces higher borrowing costs in the world’s largest economy.

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