# Indonesia cuts interest rate to spur growth

> Bank Indonesia unexpectedly cut its policy rate to 4.5% from 4.75% on August 22 to support economic growth. The central bank forecast 2018 inflation at 3.5% and an exchange rate of 13,500 rupiah per dollar.

- Date: 2017-08-23 · published 2017-08-23T12:00:00.000Z
- Category: macro · region Indonesia · magnitude medium
- Page: https://feedsoft.ai/events/69773-indonesia-cuts-interest-rate-to-spur-growth
- Commodities: [Indonesian Rupiah (IDR per USD)](https://feedsoft.ai/c/USDIDR.md)

## Why it matters

Easier policy supports domestic demand but may weaken the rupiah over time, which raises the cost of imported feed inputs in Indonesia. The effect on commodity prices is limited.

## Read by commodity

- USDIDR: bullish ▲

## Sources

- en.vietnamplus.vn: https://en.vietnamplus.vn/indonesia-cuts-interest-rate-to-spur-growth-post116794.vnp

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