Jokowi puts popular banker in cabinet

The appointments of Sri Mulyani Indrawati atop finance and Wiranto as coordinating minister for politics, law and security were part of a wider-than-expected cabinet reshuffle in which the trade, energy, transport and industry ministers were also replaced.

“I am aware that the challenge keeps changing and it needs quick action from us,” Widodo told reporters at the palace, adding that unemployment and income inequality must be addressed and the cabinet needed to work “more quickly, more effectively”. 

The addition of Indrawati to the president’s economic team lifted financial markets, with stocks up more than 1 per cent and the rupiah strengthening 0.4 per cent against the dollar. 

“Sri Mulyani’s appointment is a game-changer because it restores a certain amount of investor confidence and means having a steady hand on the tiller with a solid record as a reformer,” said a Jakarta-based analyst. 

In 2010, Indrawati joined the World Bank after serving as both Indonesia’s chief economic minister and finance minister under then-president Susilo Bambang Yudhoyono. Indrawati, who is not a member of a political party, won praise for successfully managing Indonesia’s economy through the 2008 global financial crisis.