Indonesia Central Bank Governor Perry Warjiyo Steps Down in Surprise Move
Destry Damayanti will serve as acting governor while the government prepares a replacement that must win parliamentary approval.
- On Monday, State Secretary Prasetyo Hadi announced Bank Indonesia Governor Perry Warjiyo resigned for "personal reasons," with Senior Deputy Governor Destry Damayanti assuming the acting governor role.
- The departure follows pressure under President Prabowo Subianto to align monetary policy with government growth targets, including efforts to lift annual growth from around 5% to 8%.
- Bank Indonesia recently raised its benchmark interest rate to 5.75 percent during May and June, yet the rupiah remains near record lows, the worst performing currency in Asia this year.
- Damayanti stated the board of governors will ensure continuity of Bank Indonesia's duties, while The President will nominate a permanent successor subject to parliamentary approval under current law.
- "Warjiyo's resignation will likely be taken negatively by the market," said Angus Mackintosh, an Asean specialist at Aletheia Capital in Singapore, citing concerns about the bank's independence following Prabowo's earlier appointment of his nephew.
21 Articles
21 Articles
Indonesian President Prabowo Subianto has accepted the resignation of Perry Warjiyo, head of the central bank since 2018.
Indonesia's central bank governor Perry Warjiyo steps down, stoking independence concerns
Indonesia's central bank governor Perry Warjiyo resigned unexpectedly on Monday. Destry Damayanti, a senior deputy governor, will now serve as interim governor. This surprise move could unsettle investors concerned about central bank independence. The rupiah weakened and the stock index initially fell after the announcement. Analysts await the government's decision on a permanent successor for stability.
Indonesia central bank chief steps down early: govt
President Prabowo Subianto has accepted the resignation of Perry Warjiyo, who had served as Bank Indonesia's governor since 2018, State Secretary Prasetyo Hadi told reporters in Jakarta. His second term was to have ended in 2028. Perry cited personal reasons for his resignation, tendered on July 25. He did not elaborate. Prasetyo said the president had extended his thanks to Perry "and the highest appreciation for his dedication over approximate…
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