ID :
41521
Mon, 01/19/2009 - 16:25
Auther :
Shortlink :
https://www.oananews.org//node/41521
The shortlink copeid
BI RATE MAY DROP TO 7.5 PCT - 8 PCT : BANKER
Jakarta, January 19 (ANTARA) - Given the downward trend in the country's inflation rate, Bank Indonesia (BI/central bank)'s benchmark interest rate may range between 7.5 percent and 8 percent by this year's end, a banker said.
"We are optimistic the BI interest rate will reach 7.5 percent -8 percent at the end of the year and stimulate national economic growth," Kostaman Thayib, retail banking director of PT Bank Mega, said here on Monday.
He predicted that BI's inflation target of 6.5 percent - 7.5 percent was realistic enough amid the latest developments. "So, the 6.5percent -7.5 percent target is most likely to be achieved," he said.
Kostaman said inflationary pressures had eased, and this would enable BI to lower its benchmark rate, locally called BI Rate, in order to boost economic growth.
"A further cut in BI Rate is urgently needed as an effort to stimulate the real sector," he said.
According to Kostaman Thayid, BI should be able to lower its benchmark rate from the present 8.75 percent to 8 percent in the first semester of this year.
"To go down further to 7.5 percent, I think BI can do it but there are many conditions that must be met before it can be lowered further to 7.5 percent," he said.
"We are optimistic the BI interest rate will reach 7.5 percent -8 percent at the end of the year and stimulate national economic growth," Kostaman Thayib, retail banking director of PT Bank Mega, said here on Monday.
He predicted that BI's inflation target of 6.5 percent - 7.5 percent was realistic enough amid the latest developments. "So, the 6.5percent -7.5 percent target is most likely to be achieved," he said.
Kostaman said inflationary pressures had eased, and this would enable BI to lower its benchmark rate, locally called BI Rate, in order to boost economic growth.
"A further cut in BI Rate is urgently needed as an effort to stimulate the real sector," he said.
According to Kostaman Thayid, BI should be able to lower its benchmark rate from the present 8.75 percent to 8 percent in the first semester of this year.
"To go down further to 7.5 percent, I think BI can do it but there are many conditions that must be met before it can be lowered further to 7.5 percent," he said.
