World

Indonesia to intervene aggressively to protect local currency after US’s new tariff

The Indonesian central bank said in a statement that the intervention will come in the spot and non-deliverable forward markets, as well as in secondary bond markets, adding that it had already intervened offshore in Asia, European and New York markets.

Jakarta (VNA) – Bank Indonesia (BI) announced on April 7 that it will intervene aggressively in the domestic foreign exchange market to protect the local currency, following US President Donald Trump’s announcement of a 32% reciprocal tariff on goods imported from the Southeast Asian nation.

The Indonesian central bank said in a statement that the intervention will come in the spot and non-deliverable forward markets, as well as in secondary bond markets, adding that it had already intervened offshore in Asia, European and New York markets.

The bank’s statement said it will also intervene aggressively in the domestic foreign exchange market, after opening on April 8, while purchasing government securities (SBN) in the secondary market.

On the same day, Indonesian President Prabowo Subianto said the country will negotiate with Washington to ask for a better deal related to the tariff issue.

Indonesian markets, closed since March 28 for public holidays, are set to reopen on April 8, with the IDR at its lowest level against the US dollar since the 1998 Asian financial crisis.

The US is now one of Indonesia's largest trading partners./.

VNA
#Indonesia #local currency #US’s new tariff #non-deliverable forward market Indonesia
Follow VietnamPlus

Post-pandemic recovery

Related News

Indonesian President Prabowo Subianto (Photo: prabowosubianto.com)

Indonesia copes with global instability, US tariff policy

Noudhy Valdryno, Deputy for Dissemination and Media Information at the PCO, said that President Prabowo has already anticipated potential global policy disruptions and prepared three key breakthrough measures to address them.

File - Passengers pass through the automatic immigration checkpoint (auto gate) at Terminal 3 of Soekarno-Hatta International Airport in Tangerang, Banten, Indonesia, January 3, 2024. (Photo: ANTARA)

Indonesia operates auto gates at Soekarno-Hatta International Airport

According to Johanes Fanny Satria Cahya Aprianto, head of the airport's immigration office, immigration services are fully prepared for the surge in passengers. Currently the office has deployed 531 personnel to ensure smooth and efficient immigration processing at the airport.

See more

Garment workers make clothes at a factory in Phnom Penh, Cambodia. (Photo: Xinhua)

Cambodia seeks tariff negotiations with US

In a letter sent to US President Donald Trump, Cambodian Prime Minister Hun Manet requested negotiations after the US imposed a 49% tariff on products from Cambodia, urging Trump to postpone the tariff implementation.

Malaysian Minister of Investment, Trade and Industry Zafrul Abdul Aziz (Photo: malaymail.com)

Malaysia to convene special ASEAN meeting on US tariffs

The Association of Southeast Asian Nations (ASEAN) leaders will also meet to discuss the member states’ solutions to address and mitigate potential disruptions to regional trade, supply chain networks, and cross-border investments, the MITI said.

Head of the House of Representatives' (DPR's) Budget Committee (Banggar) Said Abdullah. (Photo: ANTARA)

WTO urged to take move against US import tariffs

Abdullah asserted that economic policies should support universal economic interests rather than serve as tools for superpowers to gain unilateral advantages - a practice he believes could lead to global economic depression.

Thai exporters have long-term opportunities to ship a massive amount of locally-harvested organic rice to overseas markets. (Photo: thaipbs.or.th)

Thailand sees long-term opportunities for organic rice exports

The official indicated that the exports of locally-harvested organic rice generally grew by 32% in 2024, but particularly expanding as high as 72.1% for its fragrant strain, or Hom Mali, followed by 23.1%, 3.3% and 1.5% for its brown, white and broken grains respectively.

Search and rescue operations are still ongoing at the construction site of the SAO building in Chatuchak District, Thailand (Photo: nationthailand.com)

Bangkok declares end of disaster situation

All areas in the city are no longer disaster zones, except for the area around the construction site of the new State Audit Office (SAO) building on Kamphaeng Phet 2 Road, Chatuchak district, the statement said.

Thai Prime Minister Paethongtarn Shinawatra (right) and Dasho Tshering Tobgay, the PM of Bhutan, at the signing ceremony for the Thailand-Bhutan FTA. (Photo: Bangkokpost)

Thailand, Bhutan formally endorse trade agreement

In 2024, trade between Thailand and Bhutan reached over 460 million THB (13.3 million USD), with Thailand exporting goods worth 457 million THB to Bhutan and importing goods worth 3.47 million THB from this market..

US President Donald Trump signs reciprocal tariff executive orders at the White House on April 2, 2025 (Photo: Xinhua/VNA)

Thailand to negotiate with US on tariffs

Thailand is on the list of 15 countries that could be affected by Trump’s tariff policy. The average US tariff on Thai imports is 2% while Thailand levies an average tariff of 8% on US products

More than two-thirds of the respondents in the AmCham survey flag potential reciprocal tariffs on countries taxing US imports as the biggest concern for their business. (Photo: The Straits Times)

New US tariffs may hurt Singapore companies: survey

A flash survey by the American Chamber of Commerce (AmCham) in Singapore showed that more than two-thirds of the 36 respondents polled flagged potential reciprocal tariffs on countries that tax US imports as the biggest concern for their business – compared to existing trade measures.