Indonesia's Steady Growth Momentum May Keep Central Bank in Wait-and-See Mode -- Market Talk

Dow Jones

02-06

0134 GMT - Indonesia's 1Q GDP growth is expected to remain steady, supported by increased government social spending that could boost household consumption, CIMB economists say in a note. The economists keep Indonesia's 2025 GDP growth estimate at 5.0%. With supportive growth and external uncertainties, Bank Indonesia is likely to take a wait-and-see approach, balancing stability and growth while strategically reducing the policy rate only when a favorable window arises, they say. CIMB maintains its forecast for one 25bps rate cut per quarter, bringing the policy rate to 5.00% by end-2025.(yingxian.wong@wsj.com)

(END) Dow Jones Newswires

February 05, 2025 20:34 ET (01:34 GMT)

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