Indonesia’s Robust Growth Seen to Give Central Bank Room to Hike
- GDP grew 5.72% last quarter, fastest pace in more than a year
- Another half-point hike seen to steady rupiah: analyst
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Indonesia’s economy expanded faster than expected in the third quarter, giving the central bank room to tighten policy further as consumption stayed resilient despite price pressures and higher borrowing costs.
Gross domestic product rose 5.72% in the three months to September from a year ago, the statistics office said Monday. That’s the fastest increase in more than a year and beats the median estimate of a 5.6% gain in a Bloomberg survey. Output expanded 1.81% from the previous quarter, against the consensus for a 1.71% rise.