Keeping inflation under control, BI Rate maintained at 6.25%
JAKARTA - Bank Indonesia (BI) is maintaining BI Rate at 6.25% in order to ensure inflation relatively stable at 2.5% this year and the next.
Erwin Haryono, Assistant Governor of Head of Communication Department of BI, claimed that the Meeting of Board of Governors of BI yesterday (16-17) has decided to maintain BI Rate at 6.25%, deposit facility rate at 5.50%, and lending facility rate at 7%.
"The focus of short-term monetary policy is aimed to improve effectiveness of rupiah exchange rate stabilisation and gain foreign capital inflow," Haryono said.
In addition, BI also reinforces its monetary policy mix and payment system in order to maintain stability and drive sustainable economic growth amidst uncertan global financial market.
This strategy is carried out through enhancement of pro-market operational strategies to optimise effectiveness of monetary policy in stabilising rupiah exchange, establish intervention in the forex market for spot, domestic non-deliverable forward (DNDF), and government securities transaction in the secondary market.
Furthermore, it will also generate competitive term-repo and forex swap transaction to maintain liquidity adequacy of banking, enhance the publication of transparency assessment of credit base interest rate by emphasizing credit rate according to sectors prioritized in macroprudential liquidity incentive policy. (LK/ZH)