Indonesia cuts key rate to help weak economy

Jakarta

INDONESIA'S central bank, which resisted cutting its benchmark interest rate for months, did so on Thursday in a bid to lift an economy growing at its slowest rate in six years.

The benchmark policy rate was lowered by 25 basis points to 7.25 per cent, while the overnight deposit facility rate and lending facility rate were also cut by the same amount to 5.25 per cent and 7.75 per cent respectively. The last time the benchmark rate was changed was in February, when it was reduced by 25 basis points to 7.50 per cent.