ING economists Deepali Bhargava and Lynn Song flag renewed policy uncertainty for the Indonesian Rupiah (IDR) after the surprise resignation of Bank Indonesia’s (BI) governor, just as sentiment toward Indonesian assets was improving. They warn that questions over central bank independence and monetary policy direction point to further IDR weakness. Governor exit clouds IDR outlook"A surprise resignation from Bank Indonesia's governor introduces fresh policy uncertainty at a time when investor sentiment toward Indonesian assets was improving." "The resignation has inevitably raised questions about the independence of Bank Indonesia and the future direction of monetary policy. We continue to expect IDR to weaken amid policy uncertainty and weaker external balances."