Skip to main content

Further rate hikes likely in Indonesia

Bank Indonesia’s (BI) decision to hike interest rates by a more-than-expected 50 basis points today suggests that the central bank’s priority over the coming months will be to support the currency. With the rupiah likely to remain under downward pressure against the US dollar, today’s move is unlikely to mark the end of the tightening cycle.

Subscriber content

Read this in full, free

Start a free trial and use one of your 10 free starter credits to unlock this piece.


Free. 10 articles. No card required.

By completing this form you are agreeing to our Terms and Conditions for the provision of a free trial of Capital Economics' services. We take your privacy seriously and will not share your details with others without your consent. By providing your details, including your email address, you are consenting to Capital Economics sending you macroeconomic commentary and analysis. You can unsubscribe at any time. See our Privacy Policy for more information.