The Indonesian rupiah slipped toward the 17,000 per dollar mark on Tuesday, a new all-time low, pressured by renewed concerns over central bank independence after President Prabowo Subianto nominated his nephew to Bank Indonesia’s board of governors. Focus also shifted to the policy decision due Wednesday, with the board beginning its meeting today. Borrowing costs are widely expected to remain unchanged at 4.75%, though speculation lingers that further easing could be deployed to support growth momentum. The central bank has already delivered 150bps of cuts between September 2024 and September 2025 amid subdued inflation. Investors are also anticipating Q4 GDP data in early February, after growth slowed to 5.04% year-on-year in Q3 from 5.12% in Q2, underscoring softer consumption despite government stimulus. Globally, the dollar index fell below 99 as tensions between Washington and Europe over President Trump’s proposal to purchase Greenland weighed on confidence in U.S. assets.