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The Risk of Behind the Curve

Monday, June 27, 2022

Holding interest rate when external conditions are volatile would neither maintain the stability of the rupiah nor hold inflation at bay.

arsip tempo : 171927345883.

The Risk of Behind the Curve. tempo : 171927345883.

AS the market has predicted, Bank Indonesia (BI) holds on to its interest rate, which remains at 3.5 percent. The reason being, as quoted from the central bank’s official explanation: “...This decision is in line with the need to control the inflation and to stabilize the exchange rate, as well as boosting economic growth under external pressure regarding the risk of stagflation in various countries...” 

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