Indonesia: Monetary Stance_November 2023

𝐈𝐧𝐝𝐨𝐧𝐞𝐬𝐢𝐚:  𝐍𝐚𝐯𝐢𝐠𝐚𝐭𝐢𝐧𝐠 𝐄𝐱𝐭𝐞𝐫𝐧𝐚𝐥 𝐑𝐢𝐬𝐤𝐬

Indonesia central bank Bank Indonesia (BI) Board of Governors Meeting on November  (21-22) agreed to keep the policy rate BI7-Day Reverse Repo Rate (BI7D-RR) unchanged at 6.00%. The move, mainly to stabilize the movement of the country’s 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. This year, BI has adjusted the reference rate two times, in January and October by 25 basis points each to be at 6% in November.

Cheers,