Indonesia held its benchmark interest rate for a 14th consecutive meeting as plans to cut fuel subsidies boost inflation risks, reducing scope for monetary easing even as falling exports crimp economic growth.
Bank Indonesia may gradually raise the rate it pays lenders on overnight deposits while keeping the benchmark unchanged, Deputy Governor Hartadi Sarwono said, signaling the need to boost short-term borrowing costs as the rupiah declines.
Indonesian lawmakers approved Perry Warjiyo to become the central bank’s deputy governor for monetary operations, moving closer to filling a post vacant since 2011 as the nation grapples with a falling currency.
Indonesian lawmakers will assess candidates to become the central bank’s deputy governor for monetary operations today, seeking to fill a post that has been vacant since 2011 as the nation grapples with a falling currency.
(Corrects GDP forecast.) *Indonesian central bank Deputy Governor Hartadi Sarwono speaks in Moscow: “If the Japanese increase their domestic demand, it will help Indonesia, especially from the export side. Up to now we don’t really have very much concern on the depreciation itself” *Sarwono sees Indonesia’s economy grow 6.3-6.8% in 2013 *Sarwono backs re-election of current central bank governor *NOTE: Yudhoyono to Shortlist Candidates for Central Bank Governor NSN MI7C1J0D9L3E <GO>
The lime-green Yamaha Mio motorbike that Suryadi bought in 2011 to commute to his job pumping gas in Jakarta would have cost 11.8 million rupiah ($1,221) had he purchased it outright. Instead he took out a loan at 16 percent.
President Susilo Bambang Yudhoyono’s surprise choice of Agus Martowardojo to run Indonesia’s central bank met with mixed reactions, with some questioning his record as finance minister and others praising his banking experience.