#Donald Trump

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Rupiah drops to lowest level in five years, BI to intervene the market

The rupiah exchange rate against the United States (U.S.) dollar has weakened sharply again due to global sentiment, with the Indonesian Central Bank (BI) revealing that the rupiah depreciation was triggered by the trade tariff policy announced by President Donald Trump.

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Impact of U.S. Import Tariff policy on Global economy, Indonesia

The import tariff policy announced by United States President Donald Trump has had a significant impact, creating uncertainty on the global economy, including Indonesia, although there is room to strenghthen the economy.

Terusan-Panama image source: Rakyatpembaruan

Panama Canal and Trump's strategic outburst

The construction of the 82-kilometer Panama Canal, which connects the Pacific and Atlantic Oceans, was initiated by the King of Spain in the 16th century, but later realized by U.S. President Theodore Roosevelt. It has been a major driver of global trade progress. Based on the 1977 agreement between the United States and Panama, full control of the canal was handed over to Panama in 1999. However, Donald Trump recently threatened to take back control of the canal, citing high transit tariffs and  increasing China’s influence in the region, which he considers unfair and potentially disruptive to global geopolitical balance.

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