Rusman Heriawan News
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Indonesia will suspend a 5 percent duty on soybean imports until the year-end after makers of tofu and tempeh halted production to protest against surging costs spurred by the oilseed’s rally to a record.
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Indonesian producers of tofu and tempeh, the soybean-based staples consumed by millions of Muslims during the Ramadan holy month, may stop production today after the U.S. drought sent bean prices to a record.
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Indonesia’s inflation slowed for a third straight month in April as food prices declined during the harvest period, giving the central bank room to refrain from raising interest rates when policy makers meet May 12.
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Indonesia’s consumer price index will likely fall about 0.1 percent to 0.2 percent in May from the previous month, Rusman Heriawan , chairman of the central statistics office, said ahead of an inflation report next week.
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Indonesia’s economic growth slowed last quarter as government spending eased, boosting scope to extend a pause in interest-rate increases after inflation cooled.
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Indonesia’s inflation slowed for the first time in four months in February, prompting Bank of America Merrill Lynch to delay its forecast for an interest-rate increase to April from this week.
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Indonesia’s economy grew at the fastest annual pace in six years last quarter, adding to the case for the central bank to raise interest rates further as inflation accelerates.
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Indonesia’s central bank kept interest rates unchanged for a third straight month to bolster slowing economic growth, relying on an appreciating currency to contain inflation .
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Indonesia’s rupiah advanced to a seven-year high as inflation slowed for a third month, easing concern that rising prices will derail the nation’s economy. Benchmark bonds declined.
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Indonesian President Susilo Bambang Yudhoyono has decided on at least five of the ministerial positions in his cabinet as he prepares to announce the full lineup tomorrow, the people who were chosen said.
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