Indonesia Set to Stand Pat on Key Rate With Wary Eye on Prices

01/17/2024 09:10
Indonesia Set to Stand Pat on Key Rate With Wary Eye on Prices

Indonesia’s central bank will likely leave the benchmark interest rate unchanged for a third straight month as it remains watchful of the rupiah as also inflation amid elevated rice prices.

Indonesia’s central bank will likely leave the benchmark interest rate unchanged for a third straight month as it remains watchful of the rupiah as also inflation amid elevated rice prices.

All 28 economists in a Bloomberg survey expect Bank Indonesia to keep the benchmark BI-Rate at 6% on Wednesday. Such a decision will be in line with Governor Perry Warjiyo’s guidance last month that any monetary policy easing is unlikely before the second half of the year as he wants to see the local currency and inflation on a firmer footing.

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