# Bank Indonesia Raises Rates in Effort to Prop Up Currency

> Bank Indonesia raised its seven-day reverse repo rate by 25 basis points to 4.50% on May 17, its first increase in nearly four years. The move aimed to bolster the weakening rupiah and limit inflation.

- Date: 2018-05-17 · published 2018-05-17T12:00:00.000Z
- Category: macro · region Indonesia · magnitude low
- Page: https://feedsoft.ai/events/65324-bank-indonesia-raises-rates-in-effort-to-prop-up-currency
- Commodities: [Indonesian Rupiah (IDR per USD)](https://feedsoft.ai/c/USDIDR.md)

## Why it matters

The first rate hike in nearly four years tightens financial conditions in Indonesia, which can slow credit-driven livestock and poultry growth and trim feed demand.

## Read by commodity

- USDIDR: bearish ▼

## Sources

- wsj.com: https://www.wsj.com/articles/bank-indonesia-raises-rates-in-bid-to-prop-up-currency-1526556766

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.