Eye on economic recovery, BI holds benchmark rate at 3.5%

Eye on economic recovery, BI holds benchmark rate at 3.5%

A screenshot of Bank Indonesia Governor Perry Warjiyo during a webinar with the State Audit Agency (BPK) in Jakarta on Tuesday (June 15, 2021). (ANTARA/Tangkapan layar BPK RI Official/pri)

The decision is consistent with the low inflation forecast and efforts to maintain the rupiah's stable exchange rate and boost national economic recovery.
Jakarta (ANTARA) - During a meeting on Thursday, Bank Indonesia’s board of governors decided to leave the BI Seven-Day Reverse Repo Rate (BI7DRRR) unchanged at a record low of 3.5 percent. “The decision is consistent with the low inflation forecast and efforts to maintain the rupiah's stable exchange rate and boost national economic recovery,” Bank Indonesia (BI) Governor Perry Warjiyo said at an online press conference here on Thursday.

He assured that the central bank will make optimum use of the monetary and accommodative micro-prudential policy mix and accelerate payment system digitalization to support economic recovery efforts.


Related news: BI leaves key rate unchanged again amid low inflation outlook

 

During the two-day meeting ended Thursday, BI also decided to maintain the deposit facility rate at 2.75 percent and the fixed-ending facility rate at 4.25 percent.

 

BI has kept its benchmark rate at 3.5 percent at three consecutive meetings on March 17-18, April 19-20, and May 24-25 this year.

 

The central bank had lowered the benchmark rate by 25 basis points to 3.5 percent from 3.75 percent during a meeting held on February 17-18, 2021.

 

Since last year until February this year, the bank has lowered its benchmark rate by a total of 150 basis points. (INE)


Related news: Indonesia explores investment cooperation with Saudi Arabia


Related news: BI lowers benchmark rate to 3.5 percent

EDITED BY INE

 

Comments