Jakarta, CNBC Indonesia- The market consensus gathered by CNBC Indonesia projects that the Bank Indonesia Board of Governors Meeting on 20-21 February 2024 will again hold the BI Rate benchmark interest rate at 6%.

SEVP Head of Treasury Sales & Distribution Bank CIMB Niaga, Hernaman Tandianto, said that the release of data from the Fed and the stability of the Rupiah will still be a sentiment that is taken into consideration for BI Rate policy.

Based on developments in US inflation and employment data, this will encourage the Fed to postpone cutting interest rates in H2-2024 and will only be followed later by Bank Indonesia. If in June 2024 the Fed lowers interest rates, the opportunity for BI to also reduce the BI Rate is increasingly open.

What is the analysis of BI’s interest rate policy amidst post-election weakening of the Rupiah? For further details, see Anneke Wijaya’s dialogue with SEVP Head of Treasury Sales & Distribution Bank CIMB Niaga, Hernaman Tandianto at Power Lunch,CNBCIndonesia (Tuesday, 20/02/2024)