Indonesia Passes Bill Expanding Central Bank Role to Spur Growth

BILL - JAKARTA. Indonesia's parliament on Thursday passed sweeping legislation that doubles down on Bank Indonesia's role to support growth, while empowering lawmakers to make binding recommendations for independent financial regulators and the central bank. 

The bill has added to investor concerns about the possibility of political interference in the central bank to ensure compliance with President Prabowo Subianto's big-growth agenda, as his administration battles challenges on multiple fronts and sticks unswervingly to his target of 8% GDP growth by 2029.