Bank Indonesia expected to hold interest rates
Bank Indonesia is narrowly expected to keep its benchmark interest rate steady at 5.75 percent this week. Economists note that inflation remains contained despite recent market volatility and currency pressure.
Indonesia's central bank will hold interest rates steady on Wednesday, according to a narrow majority of economists in a Reuters poll tracking market turmoil. The currency has slid 8% this year following a warning that local equities might be dropped from key global indexes. Economists say the decision keeps the benchmark 7-day reverse repurchase rate at 5.75% despite the shock.
