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How will South-east Asia groove to the Fed’s moves?

These are the economic scorecards of the region’s largest economies as they prepare to navigate the impact of interest rate cuts

Goh Ruoxue
Published Tue, Sep 17, 2024 · 12:00 PM
    • Pundits broadly expect South-east Asian central banks to begin their monetary-easing cycle as soon as the US Federal Reserve makes its first move.
    • Pundits broadly expect South-east Asian central banks to begin their monetary-easing cycle as soon as the US Federal Reserve makes its first move. ILLUSTRATION: SIMON ANG

    THE Business Times maps out South-east Asia’s economic landscape, spotlighting key factors such as interest rates, growth, currency stability and inflation that regional policymakers will carefully assess as they navigate the impact of the US Federal Reserve’s upcoming rate cuts.

    Indonesia: First to follow Fed’s lead?

    Bank Indonesia (BI) could well be the first central bank in Asean to begin its easing cycle following the Fed’s rate cut.

    Analysts predict that BI will lower its policy rate by 25 basis points (bps) in the fourth quarter, with a further 75 bps cut expected next year.

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