IDR appreciation potential will likely be limited: Barclays

Quotes from Barclays Capital:

-Indonesia's trade deficit has narrowed sharply from last year as monetary tightening slowed growth. Investor confidence in the Jokowi administration has also improved, given recent successes in policy reforms.

-While BI has signaled that it will defend the IDR during periods of market stress, we think Indonesia's need to rebuild still-low FX reserves means that IDR appreciation potential will likely be limited as well.