JAKARTA, Jan. 31 (Xinhua) -- Indonesia's central bank saw a small chance to resume the easing policy as inflation pressure increased amid prospect of U.S. Fed Reserve's hawkish policy, a spokesman said on Tuesday.
"The room for the central bank to cut rate becomes limited," Tirta Segara, spokesman of the Bank Indonesia, said at an economic forum.
He said the consumer prices index is expected to accelerate at a faster pace this year of 3 to 5 percent from 3.2 percent last year.
Rising administrated prices are projected to contribute to the acceleration of prices hike, the central bank said.
The Southeast Asia's biggest economy is estimated to expand 5 to 5.4 percent this year from last year's forecast of 5.1 percent, according to the spokesman.
Last year, the central bank applied the longest easing policy by cutting 150 basis points its benchmark interest rate to 4.75 percent in six times to help spur growth amid subdued inflation and relatively stable rupiah against the U.S. dollar, as well as a narrowing current account deficit.
