December 15, 2016
From 6.25% at the start of 2016, the BI seven-day reverse repo rate was cut by 25 basis points each in January, February, March, June, September and October to the current level of 4.75%, which was held steady at this month’s meeting. The next meeting will be in February, as January is always skipped. Today’s statement writes of uneven global growth and uncertainty-laden world financial markets. Domestic demand has been growing solidly, and the current account gap has narrowed to less than 2% of GDP. “Low inflation is predicted for 2016 in the 3.0-3.2% range, which is towards the floor of the current target corridor, namely 4±1%.”
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Tags: Bank Indonesia