Jakarta - Bank Indonesia (BI) Governor Perry Warjiyo indicated on Wednesday, March 19, 2025, that the central bank is positioned to support Indonesia's economic growth, suggesting a potential cut in the benchmark interest rate. Warjiyo stated that there is ample room for a decrease in the BI rate, expressing a desire to implement a rate cut policy soon, but emphasized the importance of timing.
According to Warjiyo, the timing for a rate cut is not yet optimal due to unfavorable global economic and financial market conditions, influenced by trade war issues that heighten uncertainty. Currently, BI is focusing on expanding liquidity through the purchase of government securities (SBN) in both secondary and primary markets, in accordance with regulations. As of yesterday, these purchases totaled Rp 70.7 trillion.
Warjiyo affirmed that Bank Indonesia needs to expand liquidity this year, primarily through SBN purchases.