Rupiah's dilemma after the issue of FED' interest rising

Rupiah has weakened since august 18th which is the discretion of indonesia central bank after the positive trend of rupiah continues to strengthen. The repatriated fund becomes the main factor of rupiah's strength. According to tax directorate, total repatriated net asset of tax amnesty per august 24th is Rp 1.94 trillion.

In fact, rupiahs for this months is recognized as one of the strong currency insouth asia. But its continuous strength becomes the dilemma affecting the export. On account to be more competitive in export sector, Bank of Indonesia has to weaken the rupiah.

The weakening of rupiah is also influenced by the anticipation of fed's interest rising issue. The president of FED, willian dudley alarmed the investor about the plan of interest rising predictably on september and december.

HOw ever, deputy of governor senior of Bank of Indonesia mirza adityaswara that inflow is still in stability since the investors still trust the singal of better economy growth in the country. The amount of foreign currencies increase which signifies the confidence of investor toward future economy growth of the state. 

The fed interest issue becomes the main influencer after the end of brexit issue toward the weakening of rupiah. It's predicted that it will be maintained around Rp 13.300 per dollar along this year due to the 50% interest issue of USA central bank.