Bank Indonesia Governor: GDP Expected to Remain Below Potential in 2025

Indonesia’s central bank governor has indicated a cautious outlook for the country’s economy in 2025, forecasting GDP growth that will remain below its potential capacity. Speaking at an economic forum, the governor highlighted that Bank Indonesia is ready to implement further interest rate reductions if necessary to stimulate activity and maintain financial stability. The comments come as policymakers acknowledge sluggish domestic demand and external headwinds impacting the Indonesian economy in 2025.