Bank Indonesia Maintains Financing Rates to Sustain Stability of the IDR

Bank Indonesia (BI) held the Seven-Day Reverse Repo Rate (BI-7DRR) at 4.50%, the Deposit Facility at 3.75% and the Lending Facility at 5.25%, in order to help exchange rate stability in the face of global financial market volatility, according to Perry Warjiyo, the Governor of BI.

However, with lower inflationary pressure and the need to encourage economic growth, the Governor expects these rates to fall. Warjiyo added that BI will also take necessary policy steps in coordination with the relevant authorities to maintain macroeconomic stability as well as financial system stability, and accelerate the Economic Recovery Programme.

Warjiyo stated that, moving forward BI will continue...