Bank Indonesia (BI) decided to maintain the benchmark interest rate or BI-Rate at 5.75 percent.
In addition, BI also maintained the deposit facility interest rate and the lending facility interest rate at 4.75 percent and 6.50 percent, respectively.
BI Governor Perry Warjiyo said BI decided to maintain the BI-Rate or reference interest rate at 5.75 percent.
"The Bank Indonesia Board of Governors (RDG) meeting on July 20 and 21, 2026 decided to maintain the BI-Rate at 5.75 percent, the deposit facility interest rate at 4.75 percent and the lending facility interest rate at 6.50 percent," he said in a press conference, Wednesday, July 21.
Perry said Bank Indonesia is expanding incentive policies and a number of other policies to increase the inflow of foreign portfolio investment and strengthen the stability of the rupiah exchange rate, accelerate the deepening of the money market and foreign exchange market, and increase liquidity and overcome liquidity segmentation in the money and banking markets.
"The BI Rate decision and a number of other policies are part of the integrated mix of Bank Indonesia policies that remain consistent to further strengthen the stability of the Rupiah exchange rate in the midst of high global uncertainty and to maintain inflation in 2026 and 2027 within 2.5 percent plus minus 1 percent set by the pro-stability government," he explained.
Meanwhile, he added that macroprudential policies and payment system policies are still directed to also encourage growth (pro-growth).
Perry said that loose macroprudential policies continued to be strengthened to encourage economic growth through increased credit/financing to the real sector while maintaining financial system stability.
He added that the policy of the payment system is still directed to support economic activities through the expansion of digital payment acceptance, strengthening the structure of the payment system industry, and increasing the reliability and resilience of the payment system infrastructure.
"The direction of the mix of monetary, macroprudential, and payment system policies in strengthening stability and also contributing to sustainable economic growth," he explained.
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