Rupiah recovers against Sing$ after surprise rate hike, but analysts say relief may be short-lived

Rupiah recovers against Sing$, but outlook uncertain

Bank Indonesia raised rates to 5.5% on June 10 to stem the rupiah's collapse to 14,135 per Singapore dollar. The rebound is temporary: capital outflows persist and forex reserves fell $11B; rate hikes toward 6% signal economic weakness for Indonesia's tech vendors.