Name : Shela Ulul Fayana / 22311324

Jokowi Nominates BI Chief Perry Warjiyo for Second Term

President Joko "Jokowi" Widodo has officially nominated Bank Indonesia governor
Perry Warjiyo for a second five-year term in the post, a senior lawmaker at the House of
Representatives familiar with the matter said on Wednesday, confirming that no other
candidates would be nominated. Chairman of House budget committee Said Abdullah said
President Jokowi has sent Perry's name to the House as his sole candidate for the post.

Perry's term as Bank Indonesia governor is set to end in May and lawmakers are
expected to deliberate on the appointment when they return from recess on March 13. The
move all but guarantees that Perry, 63, will helm Bank Indonesia until 2028. He took on his
first five-year term in May 2018 after decades of climbing up the central bank’s ranks. He
can serve a second five-year term under the law. The rupiah pared its losses to 0.1 percent
following the announcement, after falling as much as 0.3 percent earlier on Wednesday,
Bloomberg reported. His reappointment is rare in Bank Indonesia’s history as most
governors serve only a single term. It’s also testament to Perry's credentials as a central
banker, having steered the economy through financial crises and the tumultuous pandemic
years with a focus on “preemptive and forward-looking” policy, Bloomberg wrote on
Wednesday.

 TOPICS : Indonesia central-bank perry-warjiyo President-Jokowi BUSINESS

ECONOMY Turkish inflation tops 85%, highest since 1997 Turkish President Recep Tayyip
Erdogan addresses relatives of victims, veterans and citizens after laying flowers to July 15
Monument during a ceremony marking the Democracy and National Unity Day at the
Presidential Complex in Ankara, Turkey, on July 15, 2021. Erdogan will review some of the
thousands of Turkish troops in the self declared Turkish Republic of Northern Cyprus
(TRNC).  (AFP/Adem Altan) Share AFP Istanbul, Turkey on Thu, November 3, 2022
Turkish inflation surged past 85 percent in October, its highest level since 1997, official data
showed Thursday, as President Recep Tayyip Erdogan sticks to unorthodox policies to
combat a cost-of-living crisis.

Central banks worldwide are raising borrowing costs in efforts to tame soaring
consumer prices, but Turkey has bucked the global trend, with Erdogan calling higher
interest rates his "biggest enemy". Last month, Turkey's central bank cut its policy rate for a
third consecutive time, bringing it down to 10.5 percent from 12 percent. With an election
looming next year, Erdogan argues that high rates are the cause of inflation, not the opposite,
in defiance of orthodox economic theories. Turkey's inflation has steadily risen since
reaching a low of 16.6 percent in May 2021. It hit 85.51 percent in October, according to
state statistics agency TUIK, up from 83.45 percent in September.

Independent economists, however, say the rate is more than twice as high. At the
same time, the Turkish lira has plunged against the dollar. Despite soaring consumer prices,
Erdogan praised the state of the country's economy in an address to his ruling AKP
lawmakers in parliament on Wednesday. "Thank God, the wheels of the economy are
turning," he said.  "Our economic model, which we have summarised as growth through
investment, employment, production, export and current account surplus, is bearing fruit."
The head of the central bank, however, has said that success could not be declared. "We
cannot consider ourselves very successful in the fight against inflation," central bank
governor Sahap Kavcioglu said last month.  "If there is inflation, there is a problem, it is not
right to talk about success there, we know the distress of the citizens very closely, we take
measures, we believe that we will see the result in a very short time," he added. 

The October surge was fuelled by a 117 percent rise in transportation prices and a 99
percent jump for food. The central bank has raised its inflation forecast for the full year from
60.4 percent to 65.2 percent. 'Disguise the real figure'  Many Turks and the opposition
question the credibility of the official government data.  According to a respected monthly
study released by independent economists from Turkey's ENAG research institute, the
annual rate of consumer price increases reached 185.34 percent in October.   Opposition
leader Kemal Kilicdaroglu accused the government of hiding the real inflation while setting
public employees' salaries.  "Why does TUIK (statistics agency) disguise the real figure?" he
asked last month. "Because when it gives the real figure, the pensions will be determined
accordingly. Workers' wages will be determined accordingly.

Civil servants' salaries will be determined accordingly. If you show it low, it will give
a low raise," he argued. Erdogan's government blames inflation on outside factors such as the
global spike in food and energy prices caused by Russia's invasion of Ukraine. The central
bank is expected to cut rates again at its next policy meeting and then end the easing cycle,
as Erdogan has said the rate should be in single digits. Liam Peach, senior emerging markets
economist at London-based Capital Economics, said the bank would remain "under pressure"
from Erdogan for looser policy. While the central bank has said that it will deliver one more
150-basis-point rate cut at its meeting later this month, "there is a risk of further easing
beyond that, adding more downward pressure onto the lira," he said in a note to clients.

TOPICS : Recep-Tayyip-Erdogan inflation economy central-bank Read More

BUSINESS REGULATIONS Indonesian monetary policy will be front-loaded: BI Bank
Indonesia Governor Perry Warjiyo speaks during the annual meeting of Indonesia's central
bank with financial stakeholders in Jakarta, on Nov. 30, 2022. (Reuters/Willy Kurniawan)
Share Stefanno Sulaiman and Gayatri Suroyo (Reuters) Jakarta   ●   Wed, November 30,
2022 Bank Indonesia (BI) Governor Perry Warjiyo emphasized on Wednesday the need to
adjust interest rates early to control inflation, which is near its highest rate in seven years.
But availability of energy subsidies next year would let BI moderate rises in interest rates,
Warjiyo said. "Interest rate policy will be frontloaded, pre-emptive and forward looking
while being done in a measured way to reduce inflation expectations, which currently remain
high," he said at an annual gathering of bankers, government officials and BI.

This article was published in thejakartapost.com with the title "Jokowi nominates BI chief
Perry Warjiyo for second term - Economy - The Jakarta Post".