JAKARTA, Aug. 22 (Xinhua) -- Central bank of Indonesia on Tuesday decreased its benchmark interest rate in a bid to boost economic growth.
The governor board meeting decided to cut seven-day reverse repurchase rate by 25 basis points to 4.5 percent for the first time since October, governor of the bank Agus Martowardojo said.
The board meeting also decreased deposit rate 25 basis points to 3.75 percent, but kept lending facility rate unchanged at 5.25 percent, he said.
"The policy is in line with the central bank's effort to maintain macroeconomic and financial system stability, considering the global and domestic situation," he said at the bank headquarters.
The Indonesian government needs to accelerate economy at a faster pace in the next two quarters to pursue 5.2 percent growth target this year after the gross domestic product expanded steadily 5.01 percent in the first and the second quarters.
