In a statement, the central bank said this was also a "pre-emptive measure" to maintain inflation within the government's target range of 1.5% to 3.5%.

Director of PT Traze Andalan Futures, Ibrahim Assuaibi, predicts the exchange rate of the rupiah to continue weakening to 19,000 per US dollar by the end of June.

Following last week’s sell-off, the rupiah fell 0.7 per cent to a new low against the US dollar in early trading on June 8. Read more at straitstimes.com. Read more at…