JAKARTA - Bank Indonesia's (BI) Board of Governors' Meeting on 12-13 October 2020 decided to maintain the BI 7-Day Reverse Repo Rate at 4.00%.
In addition, BI also maintained the Deposit Facility rate at 3.25% and the Lending Facility rate at 4.75%.
"This decision considers the need to maintain the stability of the rupiah exchange rate amidst inflation which is expected to remain low. Bank Indonesia emphasises quantity through liquidity provision, including Bank Indonesia's support for the government in accelerating the realisation of the 2020 State Budget, in order to encourage economic recovery from the impact of the COVID-19 pandemic," BI Governor Perry Warjiyo said in a video conference aired on BI's official YouTube channel, Tuesday (13/10).
In addition, Mr Warjiyo also described several measures that BI will pursue as part of economic recovery efforts, namely continuing to stabilise the rupiah exchange rate, strengthening monetary operation strategies, accelerating the deepening of the money market and foreign exchange market, strengthening policy implementation to encourage MSMEs, and strengthening the economic ecosystem and digital financial sector.
"Bank Indonesia will continue to take further policy measures needed to accelerate the national economic recovery programme by observing the dynamics of the global economy and financial market and the spread of COVID-19 and its impact on Indonesia's economic prospects from time to time," Mr Warjiyo said. (MS)