Bank Indonesia carries out third rate cut in three months

Benchmark lowered 25 basis points to 5.25% to stimulate flagging growth

20190919 Bank Indonesia

Bank Indonesia's headquarters in Jakarta: The central bank has veered from aggressive tightening to a streak of three rate cuts. © Reuters

ERWIDA MAULIA, Nikkei staff writer

JAKARTA -- Indonesia's central bank on Thursday announced its third rate cut in as many months, demonstrating its resolve to get ahead of a slowing global economy amid the U.S.-China trade conflict.

Bank Indonesia slashed its benchmark seven-day reverse repo rate by 25 basis points, to 5.25%, in line with the predictions of 13 out of 21 economists polled by Reuters over the past week.

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