Jakarta, July 17 -- Bank Indonesia (BI) is optimistic that the newly announced reciprocal tariff agreement between Indonesia and the United States will have a positive impact on financial markets, as it helps provide certainty for investors and businesses.

"Overall, we believe this tariff agreement will have a positive impact on market expectations and short-term foreign capital inflows to Indonesia," Governor of BI Perry Warjiyo remarked here on Wednesday.

He noted that the deal could boost business sentiment among companies and financial sector players, including banks, as they plan future investment and financing decisions.

In general, Indonesia's central bank welcomed the agreement, emphasizing that it should have a favorable effec...