• Economy: BI holds interest rate at 6%
Bank Indonesia (BI) decided to hold the benchmark interest rate or BI-Rate at the level of 6%
at the BI Board of Governors Meeting (RDG) 17-18 Dec 24. The deposit facility interest rate is
also maintained at the level of 5.25%, and the lending facility interest rate is maintained at
the level of 6.75%. BI Governor, Perry Warjiyo, said this decision was consistent with monetary
policy direction to ensure inflation with a target of 2.5% plus or minus 1% in 2024 and 2025.
The focus of monetary policy is directed at strengthening the stability of the rupiah exchange
rate due to increasing geopolitical uncertainty in various regions, and global economic and
political challenges in the United States. Going forward, Bank Indonesia will continue to pay
attention to movements in the rupiah exchange rate, and the inflation outlook as well as
developments in data and the dynamics of developing conditions in observing room for
further reductions in policy interest rates. Furthermore, Perry also said that macroprudential
policies and payment systems continue to be directed at supporting sustainable economic
growth. (Kontan)
• ADRO to distribute USD 200M interim dividend
Alamtri Resources Indonesia (ADRO) will distribute an interim dividend for of USD 200M
originating from USD 1.18B net profit in 9M24. If converted using the current Jisdor exchange
rate of IDR 16,050 per US dollar, ADRO’s interim dividend is equivalent to IDR 3.21T. The cum
dividend date is on 27 Dec 24, while the payment date is on 15 Jan 25. (Kontan)
• MDKA optimistic performance to improve for the remainder of the year
Merdeka Copper Gold (MDKA) has produced 80,043 ounces of gold in 9M24, which is in line
with this year’s production target in the range of 100,000 – 120,000 ounces. In nickel
commodities, MBMA through the Sulawesi Cahaya Mineral (SCM) mine accelerated
production by reaching a record of 3.70M wet metric tons (wmt) of limonite and 1.04M wmt
of saprolite in 3Q24, which increased around 106% and 142% respectively compared to 2Q24.
In 9M24, limonite production reached 6.69M wmt and saprolite amounted to 1.93M wmt.
Meanwhile, total production at nickel processing facilities reached 33,536 tons in 3Q24,
consisting of 20,557 tonnes in Nickel Pig Iron (NPI) and low-grade nickel matte (LGNM) and
12,979 tonnes in High-Grade Nickel Matte (HGNM). If accumulated, production in 9M24
reached 63,339 tons of NPI and 38,422 tons of LGNM. This result is still within the NPI
production target range of 80,000 – 85,000 tons and the target of 50,000 – 55,000 tons of
LGNM this year. Meanwhile, in terms of copper, MDKA production from the Wetar Mine
reached 10,483 tons in 9M24. From this operational performance, MDKA earned revenue
worth USD 574.9M in 3Q24 or a total of USD 1.67B in 9M24. Meanwhile, MBMA earned
revenues of USD 1.37B in 9M24. The global commodity price movements affected the
performance of MDKA and MBMA. For example, the gold commodity this year experienced a
price spike. Meanwhile, the average selling price of MDKA gold is US$ 2,406 per ounce. Amid
the dynamics of global commodity prices, Merdeka Group will focus on pursuing production
according to the target for the remainder of this year. (Kontan)
