Indonesia’s Nepo Babies Are Hurting the Economy

President Prabowo Subianto has tried to remake many aspects of Indonesia’s economic and social life. Now, he is a step closer to steering interest rates. For investors souring on the country, it’s another reason to sell.

The parliament, which is dominated by his allies, assented on Tuesday to the elevation of Prabowo's nephew to the top echelons of the central bank. The appointment of Thomas Djiwandono as deputy governor of Bank Indonesia gives a trusted family member a spot on the crucial panel that sets the price of money in Southeast Asia's largest economy.