Bank Indonesia Rate Decision - 18 January 2024

Hold policy rates at 6.00% to support rupiah’s stability

As widely anticipated, Bank Indonesia (BI) maintained the BI rate (formerly known as the 7-Day Reverse Repo Rate) at 6.00% at its first Board of Governor meeting for 2024

  • The Deposit Facility and Lending Facility rates were also maintained at 5.25% and 6.75%, respectively.
  • BI statement: It retained a similar tone as the decision is consistent with the focus of pro-stability monetary policy, namely to strengthen the stabilisation of the rupiah exchange rate as well as a pre-emptive and forward-looking step to ensure inflation remains under control within the target range of 1.5% - 3.5% in 2024.