Indonesia c.bank sees more room to ease, short-term focus on transmission

[JAKARTA] Indonesia's central bank said it still sees room to further loosen monetary policy but will do so cautiously after cutting its key rate for the third time this year on Thursday.

Juda Agung, the bank's executive director for monetary and economic policy, told a press briefing that Bank Indonesia's short-term monetary policy focus is to strengthen the transmission of monetary loosening to the market.

It will do that by adjusting down a host of rates for banks'deposits with the central bank, and bonds issued by the central bank, all of which it calls "term structure" rates, he said.

REUTERS

BT is now on Telegram!

For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes