Rupiah Posts Best Week Since October as Global Funds Buy Debt
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Indonesia’s rupiah completed its biggest weekly advance since October as global investors stepped up purchases of the nation’s bonds.
Overseas funds bought a net 7.85 trillion rupiah ($624 million) of local-currency debt this week through yesterday, the latest Finance Ministry data show. That’s the most since the period ended Nov. 28. Bank Indonesia, which left interest rates unchanged yesterday, plans long-term instruments to fund bank loans and will give incentives for lenders to issue bonds, Juda Agung, a director for monetary policy, said in Jakarta. The rupiah ended at 12,739 on Jan. 7, the weakest close since 1998.