Indonesian finance minister's pledge helps calm markets

Vow to improve policies seen as signal that she will continue to manage economy

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KUALA LUMPUR - Indonesian Finance Minister Sri Mulyani Indrawati pledged to improve the government's policies after protesters looted her house over the weekend, a signal to investors that she will continue to manage the economy and back efforts by President Prabowo Subianto to ease public anger.

"We apologise," she wrote in a pair of posts on her personal Instagram account on Sept 1, adding that her duties were very complex, and she understood the demands of the public.

"There are certainly still many shortcomings," she said. "We will continuously improve."

The minister's statements will be welcome news for investors who view her as a safe pair of hands in maintaining fiscal discipline. Unfounded rumours swirled in recent days that she planned to resign, prompting reporters to ask Cabinet members if she planned to step down.

"People expected Indrawati would resign after the looting at her house," said Mr Ahmad Mikail Zaini, chief economist at Sucor Sekuritas. Her staying on board "revives confidence that Indonesia's economy will be guarded with prudence".