Finance Minister expresses confidence in BI Governor nominee Destry Damayanti

Finance Minister expresses confidence in BI Governor nominee Destry Damayanti

Finance Minister Purbaya Yudhi Sadewa expressed strong confidence in working alongside Destry Damayanti following her nomination by President Prabowo Subianto as the sole candidate for Governor of Bank Indonesia.

Speaking to media in Jakarta on Tuesday, Purbaya emphasized Damayanti's extensive experience and their established professional rapport. "She has quite a lot of experience, and we are quite close," the minister said when asked about the presidential nomination submitted to the House of Representatives.

The Finance Minister highlighted their proven track record of collaboration, particularly during his tenure as Chairman of the Board of Commissioners at the Deposit Insurance Corporation, where Damayanti served as an ex-officio member representing Bank Indonesia. "We usually coordinate and work well together, so there are no issues," he added.

Presidential nomination and approval process

President Prabowo submitted the nomination through an official Presidential Letter delivered by Minister of State Secretary Prasetyo Hadi to DPR Speaker Puan Maharani and Deputy Speaker Sufmi Dasco Ahmad on Monday. Although the Bank Indonesia Law permits the President to nominate up to three candidates for the governorship, Prabowo chose to put forward Damayanti as his sole nominee, signaling strong executive support for her appointment.

The nomination now moves to the House of Representatives, which has one month to complete the approval process. Commission XI will conduct a fit-and-proper test involving in-depth interviews and evaluation of the nominee's qualifications, followed by a plenary session where all DPR members will vote on the nomination. Historically, the legislature has not rejected a sitting president's nominee for Bank Indonesia governor since 2008.

Successor to Perry Warjiyo

Damayanti currently serves as Acting Governor of Bank Indonesia following Perry Warjiyo's unexpected resignation in July 2026. Under the Bank Indonesia Law, the Senior Deputy Governor automatically assumes the role of acting governor when the position becomes vacant, ensuring institutional continuity during the transition.

Warjiyo, who began his career at Bank Indonesia in 1984, was first appointed governor in 2018 and reappointed for a second five-year term in 2023. His second term was scheduled to run until 2028, making his mid-term departure unexpected. The Bank Indonesia Law stipulates that governors serve five-year terms and may be reappointed once.

Extensive career in finance and policy

Damayanti brings over three decades of expertise in economic research, investment strategy, and financial sector governance to the central bank's top leadership post. She holds a Bachelor's degree in Economics from the University of Indonesia and a Master of Science in Regional Science from Cornell University.

Her career spans influential positions across both public and private sectors, including early academic roles at the University of Indonesia, economic advisory positions for international agencies, Chief Economist at Mandiri Sekuritas from 2005 to 2011, and Chief Economist at Bank Mandiri from 2011 to 2015.

Damayanti entered institutional financial regulation in 2015 with her appointment to the Board of Commissioners at the Deposit Insurance Corporation. She was first appointed Senior Deputy Governor at Bank Indonesia in July 2019 and was reappointed for a second term in 2024, demonstrating sustained confidence in her leadership during critical periods for monetary policy and financial system stability.

Policy environment and recent developments

As acting governor, Damayanti has overseen monetary policy during a period of accommodation. Bank Indonesia maintained its benchmark BI Rate at 4.75 percent through March 2026, representing a cumulative reduction of 150 basis points since September 2024 and marking the lowest level since October 2022.

The incoming permanent governor will also navigate a recently expanded mandate. In June 2026, Indonesia passed Law 4/2026, an omnibus financial sector law that broadened Bank Indonesia's responsibility for economic growth, increased parliamentary evaluation of its performance, and introduced new governance mechanisms for the central bank's board.

Her nomination positions her as the continuity candidate to lead Bank Indonesia through ongoing economic challenges and an evolving regulatory framework.