Economics

Southeast Asia’s Virus Hotspots Weigh Key Rates: Decision Guide

  • Indonesia, Philippines face ‘disappointing’ economic recovery
  • Other monetary tools, such as RRR cuts, could be on the table

Photographer: Ezra Acayan/Getty Images 

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Rate decisions by two Southeast Asian nations hardest hit by the pandemic are in focus Thursday, with forecasts barely tilting toward a hold in Indonesia while the Philippines struggles to support a fragile economic recovery.

The two central banks will weigh whether further monetary easing is needed as restrictions on movement are loosened, and after gross domestic product in both nations contracted by more than expected last quarter.