JAKARTA (Reuters) - President Susilo Bambang Yudhoyono has selected a new head for Indonesia's investment coordinating board, a government minister said on Saturday, after its chairman, Chatib Basri, was appointed finance minister in May.
The change will give Basri more time to deal with fiscal woes as Southeast Asia's largest economy battles a weakening rupiah currency, now near a 4-1/2 year low, a widening current account deficit and massive foreign outflows.
The president appointed deputy finance minister Mahendra Siregar as the head of the Investment Coordinating Board (BKPM), Industry Minister Muhammad S. Hidayat confirmed via text message.
Siregar enters the role as foreign investors flee emerging economies. Indonesia and India, dependent on capital inflows to fund large current account deficits, remain vulnerable to further capital outflows.
Yudhoyono is expected to announce the appointment next week.
The BKPM is pessimistic about achieving its 2014 investment target of 506 trillion rupiah ($45.34 billion), the agency said earlier this month.
(Reporting by Fergus Jensen; Editing by Ron Popeski)
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