Business · Economy · 2 hrs ago
Bank Indonesia holds key rate at 5.75% and raises deposit rate
Bank Indonesia kept its benchmark interest rate at 5.75% after its October policy meeting.
The decision covers Indonesia, where the central bank is seeking to support the rupiah amid global uncertainty.
The bank also raised its deposit facility rate from 4.75% to 5%, while leaving its lending facility rate at 6.5%.
The benchmark rate has now stayed at 5.75% for five consecutive policy decisions, after increases earlier in 2026.
From November to December, BI plans to lower banks’ reserve requirements, a move expected to add Rp190 trillion in liquidity to the banking system.
It also increased incentives for DNDF and other financial instruments to attract foreign capital and help steady the rupiah.
BI says its policy will remain focused on currency stability and keeping inflation within the government’s target.
Bank Indonesia kept its benchmark rate at 5.75% at its October policy meeting.
The central bank raised its deposit facility rate by 25 basis points to 5% while keeping its lending facility rate at 6.50%.
BI said its policies aim to stabilize the rupiah, attract foreign capital and support deeper money and foreign exchange markets.
BI also plans to reduce reserve requirements gradually from November to December, a move projected to add Rp190 trillion in banking liquidity.
Economists were divided in a Bloomberg survey, while most institutions in a CNBC Indonesia poll expected a rate increase.
- Who
- Bank Indonesia, led by Governor Destry Damayanti.
- What
- BI held its benchmark rate at 5.75% and raised the deposit facility rate to 5%.
- When
- The decision followed the October 20-21, 2026, policy meeting and was announced on October 21.
- Where
- Jakarta, Indonesia.
- Why
- BI said its measures aim to stabilize the rupiah, attract foreign capital and deepen money and foreign exchange markets.
This story does not have two clearly opposing sides.
BI raised its benchmark rate by a cumulative 100 basis points, from 4.75% to 5.75%.
BI held its benchmark rate at 5.75% for four consecutive policy decisions after the June increase.
BI held its policy meeting.
BI announced it would keep the benchmark rate at 5.75% and raise the deposit facility rate to 5%.
BI plans to reduce reserve requirements gradually, a move projected to add Rp190 trillion in liquidity to banks.
- BI Rate
- 5.75%
- Deposit facility rate
- 5%, up from 4.75%
- Lending facility rate
- 6.50%, unchanged
- Planned reserve-requirement reductions
- November-December 2026
- Projected additional banking liquidity
- Rp190 trillion
6 sources
Modal Asing Kabur dari IHSG, BI Siapkan Likuiditas Rp190 Triliun dan Tahan Bunga
BI tahan suku bunga 5,75%, Deposit Facility rate naik ke 5%
Bank Sentral Tahan BI Rate Tetap 5,75%, Bunga Deposito Naik
Breaking News! BI Rate Tetap 5,75%
What people are saying
Keputusan ini diperkuat dengan peningkatan kebijakan insentif untuk instrumen domestik non-deliverable forward (DNDF) lindung nilai kepada BI guna menarik aliran modal asing guna menjaga stabilitas nilai tukar rupiah serta mempercepat pendalaman pasar uang dan pasar valas