Bank Indonesia has strengthened its monetary operations strategy in order to maintain adequate liquidity and increase efficiency in the money market, according to a statement received in Jakarta on Saturday as reported by Antara News Agency,
In addition, Bank Indonesia has homogenised open market operations instruments through implementation of reverse repo tradeable government securities (RR SBN) for all tenors from 7 days to 12 months, while announcing plans to auction 12-month RR SBN to replace 12-month SBI, commencing 4th October 2019.
Moving forward, Bank Indonesia will maintain an accommodative policy mix in line with projected low inflation, sustained external stability and the need to build economic growth momentum.
Coordination between Bank Indonesia, the Government and other relevant authorities is constantly strengthened, in order to maintain economic stability and catalyse domestic demand.
The effort is intended to boost exports and tourism and attract foreign capital inflows, including foreign direct investment (FDI).
Meanwhile, low and stable inflation remains under control. CPI inflation in August 2019 was recorded at 0.12 percent (mtm), decreasing from 0.31 percent (mtm) one month earlier.
Annually, headline inflation in August 2019 stood at 3.49 percent (yoy), up slightly from 3.32 percent (yoy) in the previous period.
(source: Antara News Agency)