JAKARTA: Bank Indonesia on Wednesday decided to maintain its benchmark interest rate at 6.0%, with the aim of keeping inflation within the 1.5 to 3.5% target range this year.
The Board of Governors of Bank Indonesia also decided to keep the interest rates on deposit and lending facilities at 5.25% and 6.75%, respectively, at their two-day meeting on February 20-21, according to Xinhua.
Governor of Bank Indonesia Perry Warjiyo said at a press conference on Wednesday that this decision is consistent with the pro-stability focus of monetary policy, strengthening the rupiah exchange rate’s stabilization, and pre-emptive and forward-looking steps to ensure inflation remains under control.
Despite significant financial market volatility, the central bank projects that the global economy will expand 3.0% in 2024.
Indonesia’s Economic Growth
With the assistance of both rising global economic development and ongoing improvements in local demand, Indonesia’s economic growth is predicted to be between 4.7 and 5.5% this year.
