A Market Test for Recovery Policy

Yopie Hidayat (Contributor)

Tempo

July 20, 2020

BANK Indonesia (BI) has decided a policy to boost economic growth. This is certainly a great relief for the government because the country’s economy is still reeling from the pandemic. Latest government projections put the economy at minus 4.3 percent growth year-on-year at the end of Q2 2020. However, BI’s alignment causes a consequence: the fall of rupiah.

Before the policy was set, the rupiah had recovered from its lowest point in

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