JAKARTA, March 17: Indonesia's central bank held its benchmark 7-day reverse repurchase rate at 4.75%, as expected, amid rising global uncertainty.
The decision aims to stabilize the rupiah, which hit a record low near 17,000 per dollar following Middle East conflict-driven oil spikes. Inflation reached 4.76% in February, above Bank Indonesia’s 1.5%-3.5% target, driven by early-2025 electricity tariff adjustments.
Governor Perry Warjiyo emphasized strong domestic fundamentals and stepped-up market intervention, while noting ongoing concerns over fiscal governance and stock market oversight.