JAKARTA (Yosefardi) – Bank Indonesia’s board of governors decided to keep the benchmark BI rate at 7.25%.
The central bank said it would optimize monetary policy mix to ensure a contained inflation pressure, stability of rupiah, and declining current account deficit to a sustainable level.
“Bank Indonesia believes the policies would accelerate adjustment of current account deficit to a healthier level and reaching inflation target of 4.5% plus-minus 1% in 2014,” the central bank said.
Responding to the BI rate policy, rupiah weakened slightly to Rp11,538 per USD Tuesday, while composite index of Indonesia Stock Exchange ended higher by 1.32%.