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View all search resultsGlobal stocks edged higher while the dollar rose and the price of gold plunged after Trump announced his pick of Warsh, who markets perceive as someone who would support lower rates but who would stop well short of the more aggressive easing associated with some of the other potential nominees.
The rupiah slid to Rp 16,985 per US dollar on Tuesday ahead of a policy decision by the central bank this week, where analysts expect the BI to stand pat on rates. The currency is down nearly 2 percent in January after dropping 3.5 percent in 2025.
India's central bank has proposed that BRICS countries link their official digital currencies to make cross-border trade and tourism payments easier, two sources said, which could reduce reliance on the US dollar as geopolitical tensions rise.
Bank Indonesia (BI) plans to roll out additional macroprudential liquidity incentives (KLM) on Dec. 1 through new disbursement schemes to boost sluggish credit growth and expedite the pass-through of central bank rate cuts to commercial banking rates.
Concerns about the independence of the central bank have been mounting following the announcement of a "burden sharing" deal that will see BI increase the interest it pays on government deposits to fund state programs.
The government has announced plans to shift some state deposits from the central bank to commercial banks to allow for more loan disbursements and thereby invigorate private sector activity in a bid to achieve 6 to 7 percent gross domestic product growth.
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