BI again holds the benchmark interest rate at 5.75 percent

Jakarta, Armfalcon.com —

Bank Indonesia (BI) withhold benchmark interest rate BI-7 Day Reverse Repo Rate (BI7DRR) 5.75 percent at the Board of Governors Meeting (RDG) which took place on 17-18 April 2023.

The central bank also kept interest rates on hold deposit facility fixed at 5 percent and interest rates lending facility remained at 6.5 percent.

“The Bank Indonesia Board of Governors meeting on April 17 and 18 decided to maintain the BI 7 Days Reverse Repo Rate at 5.75 percent,” said Bank Indonesia Governor Perry Warjiyo in a press conference, Tuesday (18/4).

He added that this decision was made because BI remained consistent with stance monetary policy preemptive And forward looking.

The policy was carried out to ensure the continued decline in inflation expectations and future inflation.

“Bank Indonesia believes that the BI7DRR of 5.75 percent is sufficient to ensure that core inflation remains within the range of 3 plus minus 1 percent in the remainder of 2023 and Consumer Price Index inflation will return to the target of 3 plus minus 1 percent earlier than previously estimated.” ” Perry concluded.

Previously, at the BI Board of Governors’ Meeting for the March 2023 period, BI also held its interest rate steady at 5.75 percent. BI last raised interest rates in January 2023 by 25 basis points from 5.5 percent to 5.75 percent.

[Gambas:Video CNN]

(mrh/dzu)