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Bank Indonesia (BI) has cut its benchmark rate to 5.50% amid concerns over slowing domestic growth and stable inflation, marking its second cut this year. Despite a temporary easing window due to currency stability, BI remains cautious about external risks and does not foresee a cycle of aggressive rate cuts. The GDP growth forecast for 2025 has been revised down to 4.6–5.4% YoY, reflecting a more cautious outlook on both global and domestic economic conditions.

Author

afiantara

Language

EN