Institute for Economic and Social Research

LPEM COMMENTARY BI BOARD OF GOVERNORS’ MEETING JUNE 2016

LPEM COMMENTARY BI BOARD OF GOVERNORS’ MEETING JUNE 2016

Highlight

  • BI should keep policy rates unchanged.
  • Domestic case for rate cut is offset by capital outflow risks due to potential flight to safety.
  • Rate movement should be limited unless uncertainties in global economy are reduced.

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