Indonesia’s central bank (BI) slashes interest rates on September 19 for the third month in a row (Photo: AFP/VNA)Hanoi (VNA) – Indonesia’scentral bank (BI) slashed interest rates on September 19 for the third month ina row as Southeast Asia's biggest economy is affected by the US-China trade warand slow global growth.
BI lowered its key lending rate to 5.25percent, prompting speculation that more cuts could be ahead as central banksaround the world relax monetary policies.
BI governor Perry Warjiyo said this is apre-emptive measure to boost the momentum of growth amid a global economicslowdown.
The move comes after the US Federal Reserveannounced its second interest rate cut of the year as it pointed to a slowingworld economy and the US-China trade tensions.
Last week, the European Central Bankunveiled a massive stimulus programme rate cut to goose the sluggish eurozoneeconomy.
Indonesia’s economic growth was 5.05percent in the second quarter - the lowest quarterly expansion in two years - asexports and investment slipped./.
BI lowered its key lending rate to 5.25percent, prompting speculation that more cuts could be ahead as central banksaround the world relax monetary policies.
BI governor Perry Warjiyo said this is apre-emptive measure to boost the momentum of growth amid a global economicslowdown.
The move comes after the US Federal Reserveannounced its second interest rate cut of the year as it pointed to a slowingworld economy and the US-China trade tensions.
Last week, the European Central Bankunveiled a massive stimulus programme rate cut to goose the sluggish eurozoneeconomy.
Indonesia’s economic growth was 5.05percent in the second quarter - the lowest quarterly expansion in two years - asexports and investment slipped./.
VNA
