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Indonesia’s rupiah rebounds but rate rises threaten middle class

Indonesia’s rupiah rebounds but rate rises threaten middle class
Key Points

Indonesia’s rupiah rallied from a historic low this week, its stock market surged and a closely watched sovereign wealth fund bond offering was oversubscribed, offering Southeast Asia’s largest economy a reprieve after months of asset pressure. But economists have warned that the relief may come at a cost as the same forces helping stabilise the rupiah, including higher interest rates and easing external pressure, could deepen financial strain on the country’s shrinking middle class and...

Indonesia’s rupiah rallied from a historic low this week, its stock market surged and a closely watched sovereign wealth fund bond offering was oversubscribed, offering Southeast Asia’s largest economy a reprieve after months of asset pressure. But economists have warned that the relief may come at a cost as the same forces helping stabilise the rupiah, including higher interest rates and easing external pressure, could deepen financial strain on the country’s shrinking middle class and weigh on... [Image text:] NOE SIKAAR SOTE DDAWIN B THIS NOTE IS LEGAL FOR ALLDEBTS.PUBLIC INDONESIA JULY41776 100000 SERATUS RIBURUPIAK Dr.H.Cr.SOEKARNO Dr.HC.)DIS.MOHAMMADHATTA 8A.2UTAA32
Indonesia (LOCATION) Southeast Asia’s (LOCATION)
Originally published by South China Morning Post Read original →