Indonesia’s central bank nominee Destry Damayanti pledged to support growth-oriented policies if confirmed as governor, addressing a parliamentary vetting panel on Wednesday. The Cornell-educated economist, currently serving as interim governor following Perry Warjiyo’s sudden resignation last month, outlined her approach ahead of a decision expected later this week.
Damayanti, 62, told lawmakers that Bank Indonesia’s mandate extends beyond exchange-rate and financial stability to fostering conditions for real-sector growth and employment. Her remarks came as the rupiah remains among Asia’s weakest currencies, down roughly 6% against the U.S. dollar this year, while Indonesian equities have fallen about 25% over the same period.
The central bank has raised its benchmark rate by 100 basis points since May, including an off-cycle hike in June that marked its first such move in eight years. Damayanti indicated policy transmission would be optimised to ensure adequate liquidity, alongside strengthened exchange-rate stabilisation through targeted interventions.
Her nomination follows President Prabowo Subianto’s appointment of allies to key posts, including Sri Mulyani Indrawati’s exit as finance minister last year. Parliament, dominated by parties aligned with the president, is widely expected to confirm Damayanti, which would make her Indonesia’s first female central bank governor. A plenary vote must pass before her formal appointment.
The vetting process includes an interview for the senior deputy governor position later on Wednesday. Damayanti’s confirmation would conclude a period of uncertainty after Warjiyo’s mid-term resignation, which cut short a tenure scheduled to expire in 2028. The last rejection of a sitting president’s central bank nominee occurred in 2008.
