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Indonesia central bank keeps policy rate steady to support FX stability


Selasa, 19 Mei 2020 / 14:50 WIB
Indonesia central bank keeps policy rate steady to support FX stability
ILUSTRASI. Gubernur Bank Indonesia Perry Warjiyo

Sumber: Reuters | Editor: Anna Suci Perwitasari

KONTAN.CO.ID - JAKARTA.  Indonesia's central bank kept its key interest rate unchanged on Tuesday (19/5), against expectations for a cut, saying the current level was in line with efforts to ensure market stability though stressed there still remained room for a reduction.

Bank Indonesia (BI) left the benchmark 7-day reverse repurchase rate unchanged at 4.50%, as forecast by 10 of 26 analysts in a Reuters poll. The rest had predicted a 25-basis point cut.

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The central bank also held its overnight deposit facility and lending facility rates steady at 3.75% and 5.25%, respectively.

BI has cut the rates twice this year to stimulate economic activity hurt by the coronavirus pandemic, on top of four reductions in 2019.



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