Indonesian Rupiah Weakens on Legal Immunity Concerns for Danantara Bond Buyers
USD/IDR extended gains for a second day, trading near 17,940 in Asian hours, as the Indonesian Rupiah weakened amid governance and transparency worries tied to legal immunity for Danantara bond buyers.
The Indonesian Rupiah (IDR) fell against the US dollar for a second consecutive session, pushing USD/IDR to around 17,940 during Tuesday's Asian trading.
The weakness stems from concerns over governance and transparency after legal immunity was granted to buyers of Danantara bonds. This has raised doubts about the rule of law and investor protection in Indonesia, prompting renewed selling pressure on the Rupiah.
Market participants are now watching for any official response or policy measures that could restore confidence in the currency.
Source: FXStreet Forex News