Indonesian Stocks, Currency Slide After Finance Minister’s Exit

Indonesian assets fell after highly respected finance minister Sri Mulyani Indrawati was removed from her post, as concerns grew that weaker fiscal discipline may increase long-term economic risks and hurt investor confidence.

The Jakarta Composite Index of stocks fell as much as 1.8%, government bonds declined and the central bank intervened in the currency and debt markets to help maintain stability. Even then, the rupiah slumped 1% against the dollar, making it the top loser among emerging-market peers.