Financial Times FT.com

Indonesia cuts key rate to spur growth

JAKARTA, May 5 – Indonesia’s central bank on Tuesday cut its benchmark interest rate 25 basis points to 7.25 per cent, as expected, in a bid to support the country’s consumption-driven growth as inflationary pressures eased.

Indonesia’s annual inflation eased to 7.31 per cent in April when measured from a year earlier as pressures from food prices abated and the rupiah strengthened.

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