Indonesia takes taper talk in stride, holds benchmark interest rates at record low

JAKARTA, June 18 (Bloomberg): Bank Indonesia left its benchmark interest rate unchanged at a record low, sustaining its support for a pandemic-hit economy and saying it’s prepared to weather any volatility from the US Federal Reserve’s more hawkish message overnight.

Indonesia’s central bank kept the seven-day reverse repurchase rate at 3.5%, as expected by all 30 economists surveyed by Bloomberg. It’s the fourth straight month the rate has stayed at its record low, and Bank Indonesia previously has signaled it could remain at that level for the rest of the year.