The Fed is planning to cut interest rates. Will foreign investors flood Indonesia?

Jakarta, CNBC Indonesia - Global financial market players' optimism regarding the prospect of a cut in the US Central Bank's benchmark interest rate, the Fed, has also provided a breath of fresh air for the Indonesian market.

BNI Asset Management Chief Investment Officer, Farash Farich, stated that market confidence in Bank Indonesia's interest rate cut, which will be followed by the Fed, has been positively responded to by market players. This condition is in line with the increasing inflow of foreign funds into the Indonesian stock market, which has exceeded USD 300 million in the past month.

This positive sentiment has also strengthened the attractiveness of the bond market, which has attracted foreign funds to date, reaching USD 4 billion (ytd).

What is the direction of the Indonesian financial market amidst the Fed's interest rate cut plans? For more information, watch Shinta Zahara's dialogue with BNI Asset Management Chief Investment Officer, Farash Farich, on Squawk Box, CNBC Indonesia, Friday (August 29, 2025).

Read the CNBC Indonesia article "Video: The Fed Prepares to Cut Interest Rates, Will Foreigners Flood Indonesia?" in full here: https://www.cnbcindonesia.com/market/20250829113406-19-662489/video-the-fed-ancang-ancang-pangkas-bunga-asing-bakal-banjiri-ri