Indonesia: Further tightening by the BI on the cards – UOB

Economist at UOB Group Lee Sue Ann suggests the Bank Indonesia (BI) could raise the policy rate further at its October 20 event.

Key Quotes

“To mitigate the risk of rising inflation, we continue to see BI hiking in months to come, with three more 25bps hikes in 4Q22, taking its benchmark rate now to 5.00% by the end of 2022 (previous forecast: 4.50%).”