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Further policy easing by BI will exacerbate recent selling pressure on IDR

If Bank Indonesia (BI) eases further, it will likely exacerbate recent IDR weakness.

As such, there is a risk to the view that further easing may be postponed to provide some degree of IDR stability. 

Standard Chartered notes as follows...

In the event of a BI rate cut, we expect IDR selling pressure to re-emerge, given relatively weak fundamentals. 

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