Abstract

The exchange rate is one of the financial assets that can accelerate government revenue growth because the exchange rate has a major role in trade between countries, especially ASEAN countries which are involved in free market economic activities. Foreign currency exchange rates always experience uncertain changes, this is caused by internal and external factors. External factors that affect exchange rates include inflation and interest rates. This study aims to determine the effect of inflation and interest rates on exchange rates in Southeast Asia with reference to the rupiah exchange rate for the period 2014 - 2021. The method used in this study is a quantitative descriptive method using a correlation approach and using a secondary method. data. The results of this study indicate that inflation and interest rates simultaneously have a positive and significant effect on exchange rates, but inflation partially has no positive and significant effect on exchange rates in ASEAN countries.
 Keywords: Inflation, Interest Rate, Exchange Rate

Talk to us

Join us for a 30 min session where you can share your feedback and ask us any queries you have

Schedule a call

Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.