Rupiah Is Predicted Will Be Number 1 In Asia

This Year, Rupiah Is Predicted Will Be Number 1 In Asia
Some analysts of the most accurate version of Bloomberg predicted that Rupiah will rise from the worst position to be the number one among other Asian currencies this year.

According to Lloyds Banking Group Plc, the rupiah will strengthen by 6.8 percent in 2014 to a level of 11,400 per U.S. dollar. Meanwhile, Societe Generale SA will see the rupiah was at 10,250 at the end of next year. In comparison, the median of 23 analysts surveyed by Bloomberg predict the rupiah will be at the level of 12,200 per U.S. dollar.

Among the 10 countries of Asia, only China can beat Indonesian growth.

There are several factors that will allegedly keep the Rupiah. One of them, a steady growth of the Indonesian economy and the reduce of trade deficit. Two factors are again the main attraction for foreign funds to re-invest in Indonesia.

“We predict the current value of the rupiah is below as it should be (undervalued) considered the dynamic growth in Indonesia,” said Jeavon Lolay, Global Research Director of Lloyds .

He added that the Indonesian economy will move in line with the positive growth in the global economy, which in turn will help to restore the level of exports in the next second quarter.

As a record, Indonesia’s currency has gained 0.7 percent this month to 12,085 per U.S. dollar. This is the best reinforcement among 11 Asian most frequently currencies traded.