November 29, 2025 | 08:52 am
TEMPO.CO, Jakarta - Bank Indonesia (BI) Governor Perry Warjiyo has disclosed the direction of the monetary policy in 2026: to maintain a balance between stability and growth, or pro-stability and pro-growth. This policy direction is chosen amidst the ongoing global uncertainty.
"We at Bank Indonesia continue to work closely with the government, the Financial System Stability Committee (KSSK), and various parties to support the national economic transformation of Asta Cita, maintain stability amid global turmoil, and drive higher and sustainable growth," said Perry at the Bank Indonesia Annual Meeting (PTBI) 2025 in Jakarta on Friday night, November 28, 2025, as quoted by Antara.
Perry explained that with controlled inflation, the central bank will continue to monitor the possibility of further reduction in the BI rate to boost economic growth.
Furthermore, BI is committed to stabilizing the rupiah's exchange rate amidst global turmoil by conducting Non-Deliverable Forward (NDF) interventions in foreign markets, spot interventions in the Domestic Non-Deliverable Forward (DNDF), and purchasing government securities (SBN) in the domestic secondary market.
Next, BI will expand pro-market monetary liquidity to enhance the effectiveness of interest rate reduction and money market deepening. In addition, foreign exchange reserves will be maintained, and the placement of foreign exchange DHE SDA instruments will be expanded.
According to Perry, several macroprudential policies, the digitalization of payment systems, money market deepening, and the development of MSMEs and the Islamic financial economy will also be directed towards growth or pro-growth.
Looser macroprudential policies will be strengthened next year. This is solely to encourage bank credit growth by boosting credit to priority sectors. Incentives will also be provided to banks that lower interest rates more quickly.
Perry also added that joint coordination with KSSK is being conducted to address special rates in banking, drive credit demand, and strengthen systemic surveillance to maintain financial system stability. Strengthening stakeholder synergy is touted as the key to achieving stronger national economic growth in 2026 and 2027.
These five synergies are: strengthening stability and driving demand; promoting downstreaming, industrialization, and the people's economy; increasing financing and financial markets; accelerating the national digital financial economy; and strengthening international investment and trade cooperation.
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