Bank Indonesia expected to raise rates to 5.00 percent
A slim majority of economists polled by Reuters expect Bank Indonesia to raise its benchmark rate by 25 basis points to 5.00% this Wednesday. The move would aim to stabilize the rupiah, which has depreciated roughly 5% since late February due to geopolitical tensions and fiscal concerns.
Xurve View
Xurve View
Bank Indonesia is expected to raise its benchmark seven-day reverse repurchase rate by 25 basis points to 5.00% on May 20, according to a slim majority of 16 of 29 economists polled. The weak rupiah, which has fallen 5% since a conflict involving the United States, Israel, and Iran began on February 28, has prompted the expectation. The rate hike reflects concern over currency depreciation amid geopolitical tensions.
