BI: Market Player Not to be Disturbed about Thailand’s Effect
Friday, 12 January, 2007 | 15:08 WIB

TEMPO Interactive, Jakarta: Bank Indonesia (BI) affirmed that market players and investors do not have to be concerned about the Thai financial market upheaval over national shares and financial markets. The decline of the Jakarta Stock Exchange (JSX) and rupiah will not last long. “It will be only a while,” said Governor of BI Burhanuddin Abdullah yesterday (01/11) in Jakarta.

Deputy Governor of BI Hartadi A. Sarwono added that market players do not have to be concerned over a capital outflow. The reason is that the portfolio market—shares and financial—cannot be observed in short-term. In addition, the development of capital income from share and financial markets will always depend on the economic prospect of a country. Investors will keep watching the companies' activities that support a country's economics. “So, do not worry. As long as our economic prospects are good, investors will remain here,” he said.

Yesterday (01/11), the JSX was back to normal. The share index only decreased by 6.53 points (0.34 percent) to the level of 1,703.844. In addition, the rupiah decreased by 40 points to 9,120 against the US dollar.

According to Hartadi, the rupiah exchange rate was still in a secure position. The standing rupiah today has shown that the national financial market situation has an endurance over negative sentiment from the domestic and foreign matters.

AGOENG WIJAYA