The deposit facility interest rate is also maintained at 2.75 percent and the lending facility interest rate is still at 4.25 percent.
"This decision is in line with the need to control inflation and maintain the stability of the rupiah exchange rate as well as continue to support economic growth amidst rising external pressures related to the increasing risk of stagflation in various countries," BI Governor Perry Warjiyo stated at a press conference in Jakarta, Thursday.
In future, he estimates that global economic uncertainty will remain high in line with the increasing risk of slowing economic growth and rising global inflation, including as a result of protectionism policies, especially pertaining to food, adopted by various countries.
Hence, the monetary authority continues to take various steps to strengthen the policy mix, such as by strengthening the rupiah exchange rate policy to maintain stability and support inflation control while still paying attention to the operation of market mechanisms and fundamental values.
Other measures include accelerating the normalization of liquidity policy by increasing effectiveness of the implementation of the increase in the statutory reserve requirements (GWM) and rupiah monetary operations as well as continuing the transparency policy of the basic lending rate (SBDK).
Warjiyo said that his side will also continue the validity period of tariff policy of the National Clearing System (SKNBI) of Rp1 from BI to banks and a maximum of Rp2,900 from banks to customers from June 30, 2022, to December 31, 2022.
"The aim is to increase cost efficiency and encourage community economic activity as well as facilitate financial transactions in order to encourage national economic recovery," Warjiyo explained.
In addition, he noted that the BI continues to strengthen international policies by expanding cooperation for cross-border payment connectivity and facilitating the implementation of investment and trade promotion in priority sectors in collaboration with relevant agencies.
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Translator: Agatha O, Azis Kurmala
Editor: Sri Haryati
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