BI 7 Day Reversed Repo Rate Maintained at 4.25%

Wahyu Dwi Anggoro    •    22 Maret 2018 19:32 WIB
indonesian economy (en)
BI 7 Day Reversed Repo Rate Maintained at 4.25%
Illustration (Photo: MI/Rommy Pujianto)

Jakarta: Bank Indonesia maintained its 7 day reverse repo rate at 4.25 percent in the Board of Governors' Meeting this week.

"The BI Board of Governors agreed on 21st and 22nd March 2018 to hold the BI 7-day Reverse Repo Rate at 4.25%, while maintaining the Deposit Facility (DF) and Lending Facility (LF) rates at 3.50% and 5.00% respectively, effective 23rd March 2018," said Bank Indonesia spokesman Agusman in a written statement on Thursday.

"The policy is consistent with efforts to maintain macroeconomic and financial system stability, while supporting the domestic economic recovery. Bank Indonesia considers the previous measures taken to ease monetary policy adequate in terms of building domestic economic recovery momentum. Moving forward, Bank Indonesia will remain focused on maintaining economic stability as the foundation of strong and sustainable economic growth," he added.

According to the official, Bank Indonesia will remain vigilant of the risks, including external risks such as growing global financial market uncertainty and several countries’ tendency to implement inward-oriented trade policy, as well as the domestic risks linked to inflation. 

To that end, Bank Indonesia continues to optimise the mix of monetary, macroprudential and payment system policies to maintain an optimal balance between macroeconomic stability, financial system stability and the current domestic economic recovery process, primarily in terms of mitigating the near-term risks. 

"In addition, Bank Indonesia also strengthens policy coordination with the Government to maintain macroeconomic and financial system stability, while enhancing structural reforms," he stated.



(WAH)