Bank Indonesia Cuts Interest Rate
November 19, 2020
A 25-basis point cut in Bank Indonesia’s seven-day reverse repo rate to 3.75% had not been anticipated today. The move follows four earlier 25-basis point reductions this year between February and July. According to an accompanying statement, the latest easing is meant to maintain liquid money markets and promote economic recovery in the face of pandemic headwinds and in light of low Indonesian inflation, a stable balance of payments, and a solid financial system. The move complements fiscal stimulus.
Copyright 2020, Larry Greenberg. All rights reserved. No secondary distribution without express permission.
Tags: Bank Indonesia
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