Economics

Bank Indonesia Chief Signals Rate Hike as Rupiah Rout Worsens

  • More rate hikes loom as Warjiyo seeks to stablize currency
  • Central bank and govt intensifying efforts to counter selloff
Turkey, Indonesia, S. Africa Need to Raise Rates to Stem Capital Outflows, Luk Says
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Indonesia’s central bank governor vowed Wednesday to take “pre-emptive” steps to counter a deepening rout in the currency, using language he’d adopted before to signal an interest-rate hike.

“We will keep monitoring what happens globally,” Bank Indonesia Governor Perry Warjiyo told lawmakers in Jakarta. “We will still take pre-emptive, front-loaded and ahead of the curve measures to face new developments.”