Indonesia lowers benchmark rate to 5.75 percent

Indonesia's central bank lowered its benchmark interest rate by a quarter percentage point to 5.75 percent to counter a weakening global economy.

Bank Indonesia spokesman Difi Johansyah said Thursday the decision was a further step to boost Indonesia's economic growth amid a weakening outlook for the world economy.

The central bank maintained the benchmark rate at 6 percent over the past two months after cutting it by a total of 75 basis points in October and November to fend off a world slowdown.

Indonesia's economy grew 6.5 percent last year, the fastest pace since the 1997-98 Asian crisis.