Bank Indonesia’s first auction of its dollar securities, meant to attract foreign inflows that would support the rupiah, was oversubscribed.
The central bank sold $236.5 million in the Tuesday offer of FX-denominated securities or SVBI, exceeding its $200 million target. It awarded $168 million for the one-month paper at a weighted average rate of 5.45% and $68.5 million of the three-month note at 5.6%.
Bank Indonesia launched its newest monetary instrument at a time of shifting market appetite, with the dollar on the retreat amid bets the Federal Reserve has reached its peak rate. The rupiah has rallied nearly 3% this month as November’s bond inflows reach $610 million as of Friday.
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