Indonesia's Forex Reserves Reach USD102.02 Billion

JAKARTA, KOMPAS.com - Indonesia’s foreign exchange reserves in the year ended March 10 rose to US$102.02 billion on the back of the robust domestic economy, Bank Indonesia Governor Darmin Nasution said.

"I am optimistic that the economy will continue to pick up and the economic growth will become increasingly open as we are now one step away from an investment grade," he said when opening a national coordination meeting of regional inflation control teams here on Wednesday.

Also present at the meeting was Vice President Boediono. Darmin said the heavy challenge that might lie ahead would be inflationary pressure particularly that caused by rising commodity prices and that intensive efforts must be made to deal with it.

"The inflationary pressure caused by disruption of food supply will remain high. Unless the problem is dealt with it can raise commodity prices," he said.

As the inflationary pressure was very much influenced by disruption of food supply it could not be dealt with merely by means of monetary policy but also comprehensive policy involving relevant parties, he said. Looking ahead, the regional teams of inflation control must not only exchange information but also seek solution from the standpoint of food supply, ranging from production, distribution, market structure to mechanism.