Indonesia's Investment Risk Indicator Falls

The easing of global financial market concerns has caused the 5-year Credit Default Swap (CDS) risk for Indonesian government bonds to decline. In transactions on November 16, 2016, Indonesia's investment risk indicator fell 632 basis points to 182.491 from the previous day's close. Compared to its highest point on November 14, 2016, at 198.854, the 5-year CDS on Indonesian government debt even fell 1,636 basis points.

The domestic financial market moved positively, with the Jakarta Composite Index (IHSG) on the Indonesia Stock Exchange rising 2.1 percent on November 16, 2016, to 5,185.465 from the previous day's close. The Composite Bond Index (ICBI) also rose 0.45 percent to 206.9849 from the previous day's close. Similarly, the Rupiah also strengthened by 0.18 percent to 13,345 per US dollar compared to the previous day's close.