Indonesia holds key interest rate at 4.25%

• Mar 22, 2018

JAKARTA: Indonesia’s central bank on Thursday kept its policy rate unchanged, as expected, saying its monetary policy stance remains neutral.

The decision came shortly after the Federal Reserve, as anticipated, hiked US rates.

“This is consistent with efforts to maintain stability … and pushes domestic economic recovery,” BI spokesman Agusman told a news conference.

Bank Indonesia (BI) held its seven-day reverse repurchase rate at 4.25%, where it has been since a 25 basis point cut in September.

Central bank officials have said BI is committed to maintaining a presence in the foreign-exchange market to stabilise the rupiah, but said room for further easing of monetary policy is limited.

The deposit facility and lending facility rate were also kept unchanged, at 3.50% and 5.00%, respectively.

Source: https://www.bangkokpost.com/business/world/1433222/indonesia-holds-key-interest-rate-at-4-25-