Indonesia's Central Bank Keeps Interest Rates Unchanged To Support Economic Recovery

JAKARTA, Dec 16 (Bernama) -- Bank Indonesia (BI) on Thursday held its key rate at 3.5 per cent at this year's final policy meeting to support national economic recovery efforts. The country’s central bank has also kept the deposit facility rate at 2.75 per cent and lending facility rate at 4.25 per cent, governor Perry Warjiyo said in a statement. He said the decision was consistent with the need to protect exchange rates due to capital outflows in most emerging countries and maintain financial system stability amid the projected low inflation. Domestic economic growth moves in tandem with the global economy this year and will continue next year, although the resurgence of COVID-19 and supply chain disruptions overshadowed the momentum. “The rupiah exchange rate is maintained, supported by the resilient external sector and BI's stabilisation measures amid international financial markets uncertainty,” he said. -- BERNAMA