Indonesia c.bank unveils policies to boost dollar liquidity
JAKARTA Aug 23 (Reuters) - Indonesia's central bank governor said it will ease restrictions on foreign exchange-buying for exporters and allow banks to hold more funds in vostro accounts to ensure sufficient dollar liquidity in Southeast Asia's largest economy.
The policy measures are part of a fiscal package unveiled by President Susilo Bambang Yudhoyono's administration on Friday to revive confidence and consumer spending in Indonesia.
Bank Indonesia Governor Agus Martowardojo said the central bank will also allow banks to use it as a counterparty in "swap and reswap" derivative transactions.
The central bank also extended the time period for dollar term deposits to 1 day-12 months, from 7, 14 and 30 days. (Reporting by Adriana Nina Kusuma and Rieka Rahadiana; Writing by Randy Fabi; Editing by Richard Borsuk)