Bank Indonesia’s 17–18 September 2024 governors’ meeting reduced the BI-Rate by a quarter percentage point to 6%. The English-language announcement, published on 19 September, also set the deposit facility rate at 5.25% and the lending facility rate at 6.75%.
The central bank linked its decision to expectations for inflation inside its 2.5% plus-or-minus-one-percentage-point target corridor, rupiah stability and the need to support economic growth. It said further policy adjustments would depend on those conditions.
The package extended beyond interest rates. Bank Indonesia maintained measures encouraging lending to priority industries, small and medium-sized enterprises and the green economy. Payment policy also supported trade and smaller businesses through more reliable infrastructure and wider digital acceptance.
Bank credit had grown 11.40% year on year in August 2024. That combination of active lending and lower policy rates provides a useful historical view of the bank’s approach: balancing currency and price stability with financing conditions for domestic businesses.