Indonesian BI Rate Reduced to 8.25% from 8.75%
February 4, 2009
Indonesia’s central bank cut its benchmark rate today by 50 basis points following reductions of 50 bps in January and 25 bps in December. The last of several previous tightenings was implemented on October 7, a rise of 25 bps to a peak of 9.25%. A preliminary explanation of today’s move was released immediately in which hints are made that additional reductions lie ahead. Indonesia is one of several Asian economies where central banks have been cutting rates. Vietnamese rates were cut earlier this month. Besides Indonesia, rates were sliced during January in India, Taiwan, South Korea, Thailand, Malaysia and the Philippines.
Copyright 2009 Larry Greenberg. All rights reserved. No secondary distribution without express permission.
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