Citi Sees Rupiah Pressure Easing in Q3 as Indonesia Current Account Improves

Citigroup forecast that pressure on the Indonesian rupiah will ease in the third quarter as Indonesia's current account improves, but warned that persistent structural weaknesses could limit the relief, according to 36Kr. Citi expects the current account deficit to narrow to around 1% of GDP in the third quarter, helped by lower oil prices, higher mining output and weak imports, and to fall below 1% of GDP in the fourth quarter. Economist Helmi Arman wrote the outlook in a report after meeting policymakers from July 1 to July 3.