Indonesia holds rate steady to prop falling rupiah

Jakarta

INDONESIA'S central bank kept its main interest rate unchanged for a fifth month, refraining from monetary easing that could further weaken one of Asia's worst-performing currencies.

Governor Agus Martowardojo and his board held the reference rate at 7.5 per cent, Bank Indonesia (BI) said in Jakarta on Tuesday. The authority also maintained the rate it pays lenders on overnight deposits, commonly referred to as the Fasbi, at 5.5 per cent.