Economics

Indonesia, Philippines Hold Key Rates as Recovery Continues

  • Two nations face the worst virus outbreaks in Southeast Asia
  • Both central banks had cut rates unexpectedly in November

Perry Warjiyo

Photographer: Dimas Ardian/Bloomberg
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Central banks in Indonesia and the Philippines held their benchmark interest rates steady Thursday and pledged to keep policy accommodative as their economies struggle with the worst virus outbreaks in Southeast Asia.

Bank Indonesia held its seven-day reverse repurchase rate at 3.75%, as predicted by 24 of 30 economists surveyed by Bloomberg; the others expected a 25-basis point cut. About a half-hour later, Bangko Sentral ng Pilipinas kept its overnight reverse repurchase rate at 2%, as predicted by all 16 analysts surveyed.