Tuesday, 25 June 2019 | 06:17 WIB

Rupiah Weakens after Riots Triggered by Presidential Election Results

Rupiah Weakens after Riots Triggered by Presidential Election Results (rotasi)

JAKARTA, NETRALNEWS.COM - Rupiah exchange rate at the interbank level in Jakarta on Wednesday afternoon has weakened after several protests that went violent occured after the announcement of the 2019 Presidential Election results by the Indonesia General Election Commission (KPU).

The rupiah weakened by 45 points or 0.31 percent to close at IDR 14,525 per US dollar from IDR 14,480 per US dollar.

PT Garuda Berjangka President Director Ibrahim Assuaibi in Jakarta on Wednesday said the weakening of the rupiah today was dominantly triggered by domestic sentiment, namely the demonstration against the results of the KPU's national recapitulation.

"There are no external effects on the decline of rupiah, the influence is greater from within the country. When the KPU announced the winner was Jokowi, the 02 candidate pair refused the results, and riots occurred. This riot caused market participants to leave and do profit taking in the Indonesian markets. "Ibrahim said.

According to Ibrahim, if the security conditions are still not conducive and the demonstrations that turn into riots cannot be resolved, the rupiah has the potential to break the level of IDR 15,000 per US dollar.

"I am sure that if the riots cannot be resolved, chances are that the rupiah will go to 15,000. 15,000 is a very reasonable figure in the count of May," Ibrahim said, as quoted by Antara on Wednesday (5/22/2019).

The rupiah opened at the level of IDR 14,488 per US dollar in the morning. Throughout the day, the rupiah moved in the range of IDR 14,488 per US dollar to IDR 14,528 per US dollar.

Meanwhile, Bank Indonesia's middle exchange rate on Wednesday showed that the rupiah weakened to IDR 14,488 per US dollar, compared to the previous day at IDR 14,462 per US dollar.