Indonesia: Navigating External Risks
Indonesia central bank Bank Indonesia (BI) Board of Governors Meeting on March ย (19-20) agreed to keep the policy rate BI Rate unchanged at 6.00%. The move, mainly to stabilize the movement of the countryโs currency Indonesia Rupiah (IDR) against foreign currency particularly the United States Dollar (USD), was widely expected by the financial community. The decision underlined the central bank’s approach of pre-emptive and forward-looking to anticipate challenges particularly from outside the country. Last year, BI adjusted the reference rate two times each by 25 basis points, to 5.75% in January and 6.00% in October.
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