Central Banks
Indonesia Set to Hold Rate as Trump Tariff Talks Weigh on Rupiah
The Bank Indonesia headquarters beyond the traffic in Jakarta, Indonesia.
Photographer: Rosa Panggabean/BloombergThis article is for subscribers only.
Indonesia’s central bank is likely to hold its benchmark interest rate steady to stabilize a currency heavily weighed down by uncertainty over US tariffs and their impact on the domestic economy.
Twenty-seven of 29 economists in a Bloomberg survey expect the BI-Rate to be kept at 5.75% on Wednesday, with two predicting a quarter-point cut. It would be a third straight rate pause since policymakers lowered borrowing costs in January, just before the start of Donald Trump’s presidency.