RUPIAH DOWN 13 POINTS ON MONDAY

Jakarta, March 22 (ANTARA) - The rupiah closed 13 points lower against the dollar in the Jakarta interbank spot market late Monday as investors disposed of the local unit amid the US greenback`s strengthening in the regional market.

The rupiah traded at Rp9,113-9,123 per dollar compared to Rp9,100-Rp9,110 per dollar at the weekend.

The rupiah`s depreciation was something normal because of the dollar`s appreciation in the Asian market which prompted investors to hunt for the greenback, PT Bank Mega retail banking director Kostaman Thayib said.

But he added that the investors had yet to dispose of the rupiah in large quantities so that pressure on the Indonesian currency was relatively small.

The rupiah traded at a range of Rp9,100-9,150 in the past two days. Yet the rupiah still had a chance to edge closer to Rp9,000 per dollar particularly if Bank Indonesia (the central bank) lowered its benchmark rate or BI Rate, he said.

Acting BI Governor Darmin Nasution said earlier in the day the central bank still saw no urgency to change the key rate which now stands at 6.5 percent.

Darmin said BI would not follow central banks of other countries such as India to change its benchmark rate.

"We have own considerations based on our own conditions," he said.

Up till now the inflation target was still manageable thanks to the low monthly inflation rates in January and February and the likelihood of deflation in March, he said.

BI has maintained its benchmark rate at 6.5 percent since August last year.