Indonesia's domestic currency has been one of the world's worst performing currencies this year, suffering an around 19 percent decline against the U.S. dollar, but the nation's Finance Minister told CNBC he was comfortable with its value.
"Yes definitely [I am comfortable with the rupiah's level]," Chatib Basri told CNBC at the Indonesia-based Asia-Pacific Economic Cooperation CEO (APEC) Summit on Monday.
"You have to look at the world without quantitative easing. If you recall, [in] the world without QE the rupiah was around 10,000 to 11,000 [to the dollar]," said Basri, implying that the wind down of the Federal Reserve's QE program would bring the currency back to its natural level.
Since late May, talk of Fed tapering has panicked investors about how financial markets will cope without the U.S. central bank's steady flow of easy money. Emerging market economies, particularly those with large current account deficits like as Indonesia, suffered sharp capital outflows and consequently steep losses for their currencies.
Indonesia's central bank has made several attempts to shore up losses in the currency, including raising interest rates by 150 basis points since June, but so far the efforts have done little to boost the rupiah. However, over recent days the rupiah has shown some signs of stabilization; it has recovered from a low of 11,660 to the dollar last Monday to trade around 11,530 this Monday.
(Read More: Is the rupiah drubbing nearly over?)
Basri said recent signs of stabilization show the situation had become less bleak.
"The most important thing if you look at the recent developments, the spot and the forward markets have more-or-less converged, so that shows that the expectations of depreciation are not as high as previously thought," added Basri.