Video: Rising Oil Prices and Weakened Rupiah, BI Forecast to Hold Interest Rates

Amidst the escalating Iran versus United States and Israel conflict threatening to drive oil prices higher, disruptions to supply chains, and risks of increased inflation and global economic slowdown, central banks worldwide, including Bank Indonesia, are expected to maintain their benchmark interest rates.

Maesaroh, an economist at CNBC Indonesia Research, has noted that significant risks would accompany any interest rate cut by BI given the continued substantial pressures from inflation and Rupiah exchange rate depreciation.

The analysis was presented by CNBC Indonesia anchors Andi Shalini and Shania Alatas in discussion with Maesaroh during Squawk Box on CNBC Indonesia (Monday, 16 March 2026).