|
|
JAKARTA - Bank Indonesia has increased its policy rate by 25 basis points to 9.5% as they continue their ongoing battle with inflation. Indonesia did not join Australia, who cut rates today by the highest since a recession in 1992. It is predicted however that today’s increase may be the last this year as the aim of the central bank moves onto supporting growth rather than continuing the fight against inflation.
The central bank’s decision was as expected by economists’ which is now the sixth straight month the central bank has increased the key interest rate. The Rupiah fell 0.2 percent to 9,595 against the dollar in Jakarta, extending yesterday’s 1.5 percent decline although it is a continuation as the currency has dropped by 2.3 percent in the last month alone. This is made worse by the increasing cost of importing fuel, soybean and wheat with consumer prices increasing 12.1 percent last year.
Stuttering growth is in line with the rest of the Asia, although the accelerating inflation and a drop in commodity stocks has resulted in the biggest decline in the benchmark stock index yesterday since the 2002 Bali bombings, which is an indication of the severity of the decline and goes a long way to explaining the actions of the central bank.
|
|
|
|
|
|
There are no reactions on this blog entry yet. Be the first one to give a reaction here!
|
|
Log in to write a reaction
|
You are not logged in to the website. You have to be logged in to write a reaction on this blog entry.
· If you already have an account, please login.
· If you have lost your password, please retrieve it.
· If you don't have an account yet, you can create one.
|
|
|
| ABOUT THIS ENTRY |
Add this blog entry to your email, your own blog, MySpace, Facebook, or whatsoever via AddThis:
|
Login if you want to receive emails for reactions on this blog entry. You will receive an update as soon as a reaction on this blog entry is posted.
|
|
Looking for e-tickets for flights in Indonesia? Here's your solution! Order your e-tickets at ticketindonesia.info.
|
| BLOG ARCHIVE |
· 2015, 28 entries
· 2014, 591 entries
· 2013, 750 entries
· 2012, 1061 entries
· 2011, 792 entries
· 2010, 644 entries
· 2009, 916 entries
· 2008, 504 entries
· 2007, 725 entries
· 2006, 1014 entries
· 2005, 723 entries
· 2004, 558 entries
· 2003, 525 entries
· 2002, 375 entries
· 2001, 162 entries
|
| POPULAR TAGS |
Automatically generated every hour
|
| EXCHANGE RATES |
@ 18 Oct 2017 11:07 CET
|
@ 18 Oct 2017 08:56 CET
|
@ 18 Oct 2017 08:42 CET
|
@ 18 Oct 2017 08:40 CET
|
@ 18 Oct 2017 08:44 CET
|
@ 18 Oct 2017 08:38 CET
|
|
| Go to 'exchange rates' |
|
