Jakarta (ANTARA) - Bank Indonesia (BI) governor candidate Destry\nDamayanti has emphasised that synergy with the government to drive\neconomic growth does not reduce BI\u2019s independence in carrying out its\nauthority.<\/p>\n
\u201cDon\u2019t misunderstand synergy. Synergy does not mean we lose\nindependence, no. Because we move together in the same direction, of\ncourse in accordance with our respective authorities,\u201d said Destry\nduring a fit and proper test in Jakarta on Wednesday.<\/p>\n
In general, Destry explained that BI fundamentally supports the\ngovernment in achieving higher economic growth. The Financial Sector\nDevelopment and Strengthening Law (UU P2SK) has also mandated BI to\ncreate a conducive economic climate to encourage real sector growth and\njob creation.<\/p>\n
\u201cSo our task is how we try to keep the economic climate conducive,\nmeaning stability is maintained, then supply-demand growth is strong and\nso on, and financing availability is also there. This is our homework,\u201d\nshe explained.<\/p>\n
Destry explained that such synergy is necessary because current\neconomic conditions face unusual challenges. According to her, policy\ncannot rely on just one instrument to maintain stability while\nsimultaneously promoting quality economic growth.<\/p>\n
She cited conditions in developed countries such as Europe and the\nUnited States, which face slowing economic growth while at the same time\nstill facing inflationary pressures due to rising commodity prices and\nsupply chain disruptions.<\/p>\n
According to her, these conditions mean central banks need to balance\npolicy because rising inflation cannot be responded to simply by raising\ninterest rates when economic growth is also slowing.<\/p>\n
\u201cThis is a situation where if they only talked about inflation rising\nthey could immediately say, okay, raise interest rates. But this is not\nthe case; they are also facing an economic slowdown, which is why they\nhave to balance,\u201d said Destry.<\/p>\n
In the Indonesian context, she said BI carries out this balancing\nthrough a policy mix that includes monetary policy, macroprudential\npolicy, payment systems, and supporting policies.<\/p>\n
One such supporting policy is deepening the money and foreign\nexchange markets. According to her, deepening these markets is important\nto strengthen rupiah stability while providing a source of financing for\nthe economy.<\/p>\n
\u201cBecause Indonesia is growing, especially with the government\u2019s 8\npercent target, it will certainly need substantial financing,\u201d said\nDestry.<\/p>\n
Efforts to maintain stability, according to Destry, also cannot be\nachieved through monetary policy alone.<\/p>\n
She cited BI\u2019s decision in the Board of Governors Meeting (RDG), when\npressure on the rupiah increased but BI considered that economic growth\nwas still below its potential level.<\/p>\n
\u201cBecause we see that we have homework: our growth is still below its\npotential level,\u201d she said.<\/p>\n
Therefore, BI uses supporting policies through deepening the money\nand foreign exchange markets, among others by providing incentives and\nlowering hedging costs to encourage capital inflows.<\/p>\n
According to Destry, these measures also encouraged fund inflows into\nBank Indonesia Rupiah Securities (SRBI) and Government Securities (SBN),\nwhich ultimately increased the supply of foreign exchange in the\nmarket.<\/p>\n
For information, Destry Damayanti, who currently serves as Acting\nGovernor of BI, is the sole candidate for BI Governor proposed by\nPresident Prabowo Subianto based on a Presidential Letter (Surpres) to\nthe Indonesian House of Representatives (DPR RI).<\/p>\n
Destry has served as Acting Governor of BI following the voluntary\nresignation of Perry Warjiyo from the position of BI Governor for\npersonal reasons on 25 July 2026.<\/p>\n
On the same day, Wednesday, Commission XI of the DPR RI held a fit\nand proper test for the candidate for Senior Deputy Governor of BI,\nnamely Aida S. Budiman.<\/p>\n
Meanwhile, the fit and proper test for the candidate for Deputy\nGovernor of BI is scheduled to take place on Thursday (27\/8). For the\nposition of Deputy Governor of BI, two names have been proposed, namely\nSolikin M. Juhro and M. Anwar Bashori.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/destry-synergy-with-government-does-not-mean-bi-loses-independence-1787745541", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }