Jakarta, CNBC Indonesia- Bank Indonesia continues to strengthen financial market deepening instruments to maintain Rupiah stability in the face of global turmoil in 2024. This strategy includes strengthening swap, hedging and short-term liquidity products as well as establishing the structure of interest rates and the rupiah exchange rate.
SEVP Treasury & International Banking BCA, Branko Windoe views BI's market deepening steps, including through hedging, as appropriate, even though the current exchange rate volatility is more due to movements in the US Dollar.
Hedging is currently applied to derivative products with low costs that can be used by the real sector to protect businesses related to exchange rates.
In line with BCA, Head of Trading, Treasury & Markets Bank DBS Indonesia, Ronny Setiawan views that conditions of increasing market uncertainty should be exploited by market players to reduce the impact of exchange rate volatility through hedging.
Banking continues to encourage hedging variations to expand the scope of hedging that can be utilized by the real sector. So what is the urgency of using hedging? how strong are the rules supporting the hedging offered by banks? For complete details, see Anneke Wijaya's dialogue with Senior Executive Vice President Treasury & International Banking BCA, Branko Windoe and Executive Director Head of Trading, Treasury & Markets Bank DBS Indonesia, Ronny Setiawan at Power Lunch,CNBCIndonesia (Monday, 15/01/2024)