The decision came minutes after the Philippines central bank lowered its main rate to 6% as inflation pressures fade. Bank Indonesia shortly afterward left its main policy rate unchanged at 6%, near the highest in five years, as officials weigh renewed currency volatility with financial stability. Those results were widely expected by analysts.
Thailand’s central bank unexpectedly dropped its long resistance to rate cuts earlier this week, underscoring how increasing concerns over economic growth are outweighing inflation risks across Southeast Asia.
The Bank of Thailand cut its one-day repurchase rate by 25 basis points on Wednesday, expected by only five of 28 economists. The rest saw the typically conservative central bank holding rates.
