Indonesia cut its interest rate hours after deadly attacks

The Indonesian central bank cut interest rates 25 basis points to 7.25% in a scheduled meeting just hours after explosions and gunfire erupted in Jakarta.

At least seven people have reportedly been killed after several explosions erupted in central Jakarta. An unknown number of others were injured.

Indonesian president Joko Widodo said the “situation [is] under control” in a statement given on national TV following the attacks on Thursday.

Bank Indonesia’s cut was the first in 11 months. It came after a scheduled meeting and is unlikely to be related to the attacks.

The central bank is trading a weaker currency, which makes dollar denominated debt more expensive to pay back, for easier monetary conditions and cheaper exports. Thirteen economists out of 23 surveyed by Bloomberg expected the cut.

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