Indonesia's Central Bank, Bank Indonesia has decided to not to hike its benchmark interest rates and will instead hold them at 5,75 percent.
In announcing the decision on Thursday, Bank Indonesia's Governor Perry Warjiyo, said that the current level of the bi seven day reverse repo rate will be enough to push down inflation to three percent plus minus one percent by the first semester of 2023.
In January, Indonesia's annual inflation rate was 5,28 percent. Lower than the 5,51 inflation in December and also marking a continuous drop after a high of 5,95 percent last year.
Governor Perry said the decision to hold rates at 5,75 percent was done following the assessment on current domestic and global economic conditions.
The deposit facility rate and lending facility rate were also held at five and 6,5 percent respectively.