Bank Indonesia Cuts Benchmark Rate by 25 bps to 5.5%

Bank Indonesia Cuts Benchmark Rate by 25 bps to 5.5%

BI lowered its 7-day reverse repo rate by 25 bps to 5.5% in May-25, aligning with expectations. The move reflects confidence in maintaining inflation within the 2.5% ± 1% target for 2025-2026 and supports IDR stability and growth. Apr-25 inflation rose to 1.95% (vs Mar-25; 1.03%) but stayed well within target. BI also cut the deposit and lending facility rates to 4.75% and 6.25%, respectively. (Trading Economics)

INDUSTRY 
BPOM Requested IDR 2.69 tn Budget Hike to Tighten Supervision of MBG 
BPOM proposed an additional IDR 2.69 tn budget to strengthen its role in overseeing the MBG program. The funds would support 13 key initiatives, including food safety training, sampling, and testing across 30k targeted distribution units (SPPG) by end-2025. The request follows recent food poisoning incidents in South Sumatra linked to unsafe meals.(Bisnis.com) 

COMPANY 
Indocement (INTP) to Distribute IDR 868 Bn in Cash Dividends 
INTP will distribute a cash dividend of IDR868 bn (IDR 259/sh, Div. yield: 4.8%), equal to 43% of FY24 net profit of IDR 2 tn. The dividend schedule is as follows: 
- Cum date (Regular and Negotiated Markets): 02 Jun-25 
- Ex date (Regular and Negotiated Markets): 03 Jun-25 
- Cum date (Cash Markets): 04 Jun-25 
- Ex date (Cash Markets): 05 Jun-25 
- Recording date: 04 Jun-25 
- Dividend payment: 20 Jun-25 
(Emitennews)