JAKARTA (TheInsiderStories) - Indonesia’s foreign exchange reserves rose US$ 2.2 billion to US$ 115.7 billion at end September from previous month at US$ 113.5 billion. The increase was boosted by the capital inflow to the country’s stock market.
Deputy Governor Senior Bank Indonesia (BI) Mirza Adityaswara said the capital inflow was partly driven by the tendency of the Federal Reserves rate which has been predicted. He said the Fed’s policy has triggered flow of capital into emerging markets, including Indonesia. The inflow was also driven by the good progress of the Tax Amnesty, in which the government received redemption money of Rp97.2 trillion and repatriated funds of Rp137 trillion at end September.
Mirza said the forex reserves are expected to continue to increase supported by capital inflow. So far this year, (year to date), the capital inflow has reachedRp 165 trillion. (*)