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MNI BRIEF:Bank Indonesia To Utilise Liquidity Tools Over Rates

MNI (Sydney)

Bank Indonesia left the bank's benchmark 7 day reverse repo rate unchanged at the record low of 3.5% at its meeting today. The central bank was expected to hold rates steady, with an eye to the volatile rupiah which has fallen over 3% so far this year.

In comments accompanying the decision, BI said it would likely use liquidity tools if needed in coming months amid signs of a tentative recovery in the economy.

BI cut the benchmark rate by 25 basis points to 3.5% in February, after cutting five times in 2020 and by 125 basis points for the year.

MNI Sydney Bureau | +61-405-322-399 | lachlan.colquhoun.ext@marketnews.com
MNI Sydney Bureau | +61-405-322-399 | lachlan.colquhoun.ext@marketnews.com

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