- doc.theage
VIVAnews - Taking into consideration the quite low yearly inflation rate up until May 2010, Bank Indonesia (BI) is projected to maintain the benchmark rate (BI Rate) at 6.5 percent until the end of the year.
Economist head of PT Bank Danamon Tbk, Anton Gunawan, in its monthly economic outlook publicized in Jakarta, June 8, said the increase in the BI Rate will depend much on next year's inflation rate.
There will be energy subsidy reform, acceleration on global economic improvement, increase in benchmark interest rate in the US and other countries. "For the time being, almost all top countries apply low interest rate," he said.
Nonetheless, he went on to say that Australia, India, and Malaysia have advanced their benchmark interest rates. In the future, tight economic policies will be issued as an attempt to avoid overheating.
As reported, the inflation rate of monthly normal prices in May 2010 was at 0.29 percent, lower than the market expected as 0.30 percent.
The rise in monthly inflation in May caused the yearly inflation rate to hike at 4.16 percent from 3.91 percent in April 2010.
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Translated by: Bonardo Maulana W
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