Nomura: Bank Indonesia Expected to Hold Interest Rates Steady This Year

Golden Ten Data reported on April 15 that economists at Nomura stated in a report that Bank Indonesia may keep its policy rate unchanged at 4.75% this year, as it remains committed to maintaining the stability of the rupiah. The central bank kept rates steady in March and shifted to a more hawkish stance, abandoning earlier expectations of a rate cut later this year. Nomura noted: "We currently do not expect Bank Indonesia to raise rates, but if (balance of payments) pressures intensify and Bank Indonesia's reserve adequacy indicators drop significantly further, risks may increase."