Jakarta, May 18 -- Bank Indonesia (BI) needs to consider taking more hawkish and preemptive measures to ease mounting pressures on the rupiah's exchange rate, according to Trimegah Sekuritas Indonesia Chief Economist Fakhrul Fulvian.

"In this situation, the central bank is not only managing inflation; it is striving to safeguard its policy anchor. Once the market begins scrutinizing the rupiah's terminal level, inflation anchor, and coordination between fiscal and monetary measures, stabilization will become more costly," he said.

He stated in Jakarta on Monday that the absence of clear policy adjustment signals, particularly regarding domestic energy prices, subsidies, and fiscal calibration, is shifting the adjustment burden almost en...