Bank Indonesia (BI) has opted to maintain its benchmark interest rate, the BI Rate, at 4.75 percent for February 2026, following a recent Board of Governors meeting. This decision also sees the central bank hold its deposit facility rate at 3.75 percent and the lending facility rate at 5.5 percent.
The resolution to keep these key rates unchanged was made during the Bank Indonesia Board of Governors meeting held on February 18 and 19, 2026. Announcing the decision in a press conference on Thursday, February 19, Governor Perry Warjiyo affirmed, “The Bank Indonesia Board of Governors meeting on February 18 and 19, 2026, decided to maintain the BI Rate at 4.75 percent.”
This strategic move aligns with BI’s prevailing monetary policy focus, which is centered on fortifying the stability of the rupiah exchange rate amidst persistent global uncertainties. The central bank’s stance underscores its commitment to shielding the national currency from external shocks and ensuring economic resilience.
Governor Perry Warjiyo further elaborated on the rationale, stating, “Maintaining the stabilization of the rupiah exchange rate in line with fundamentals amid high global uncertainty also serves to foster sustainable economic growth.” This highlights the intricate balance BI aims to strike between currency stability and broader economic prosperity, ensuring a robust foundation for the nation’s economy.
Looking ahead, Bank Indonesia indicated its ongoing vigilance in monitoring both inflation prospects and economic growth trajectories. The central bank will carefully assess these critical indicators, alongside movements in the rupiah exchange rate, to identify any potential scope for future reductions in the BI Rate, thereby guiding its forward-looking monetary policy adjustments.
Summary
Bank Indonesia (BI) has opted to maintain its benchmark interest rate, the BI Rate, at 4.75 percent for February 2026. This decision was made during the Board of Governors meeting held on February 18-19, 2026. The central bank also held its deposit facility rate at 3.75 percent and the lending facility rate at 5.5 percent.
This strategic move aligns with BI’s focus on fortifying rupiah exchange rate stability amid persistent global uncertainties and fostering sustainable economic growth. BI will continue to monitor inflation prospects, economic growth trajectories, and rupiah exchange rate movements. This vigilance will guide any potential future reductions in the BI Rate.