Indonesia: Bank Indonesia to stay on hold – TD Securities

Analysts at TD Securities suggest that after surprisingly cutting policy rates by 25bp at the August meeting, they are expecting Bank Indonesia to hold its 7d reverse repo rate at 5.50%, pausing after two consecutive rate cuts.

Key Quotes

“At least until the drone attacks the decision seemed to be clear cut, with inflation remaining low and BI becoming more pro growth orientated. However, it now appears a closer call given the subsequent weakness in the IDR.”