The central bank’s seven-day reverse repo rate was increased by 25 basis points to 4.50 per cent, while lending facility and deposit facility rates were also raised by 25 bps, to 5.25 and 3.75 per cent, respectively.

“Bank Indonesia will continue to monitor the development of the economy and is ready to undertake stronger measures to ensure macroeconomic stability is maintained,” said Bank Indonesia Governor Agus Martowardojo in Jakarta on Thursday.

As part of its policy mix, the central bank also decided to keep its counter-cyclical capital buffer at 0 per cent in a bid to maintain stability of the financial system and encourage banking intermediation.

Agus also said BI would continue its effort to maintain stability of the rupiah in accordance with its fundamental values, while pushing for market mechanism through monetary market operations directed toward ensuring sufficient liquidity in the market.

External risks

Among external risks that the central bank has continued to monitor are the increase of the United States treasury yield and the Federal Reserve’s interest rate, the increase in the global oil price, tension between the US and China over trade, and geopolitical risks from the US decision to call off the Iran nuclear deal.

Agus said the previous policy mix and the current policy response aligned with its target to maintain inflation between 2.5 and 4.5 per cent in 2018 and 2019.

Task Force Bangon Marawi chair Eduardo Del Rosario told reporters that the rehabilitation of “ground zero,” or the area most affected by the five-month fighting between government forces and Islamic State supporters last year, was estimated to cost 22 billion pesos.

Another 55 billion pesos will be allocated for intervention in surrounding areas, according to Del Rosario.

The total cost of rebuilding Marawi and its outskirts in the next four years could reach 80 billion pesos, Del Rosario said, adding that the final figure would be determined by the first week of June.

The government had already allocated 10 billion pesos under the 2018 national budget, while the Bureau of the Treasury planned to issue so-called “Marawi bonds” to raise funds, Finance Secretary Carlos Dominguez III said.

“We will be issuing bonds specifically for Marawi, and they will be retail bonds because we think every Filipino will want to share in the rehabilitation of Marawi.

“We will also offer international agencies and countries an opportunity to participate in the financing of the rehabilitation of Marawi,” Dominguez said.

The decision to sell its stake is in line with ANZ Group’s ongoing strategic review of international partnerships, in order to simplify their business and operate wholly owned entities in the region, according to the announcement.

The company did not disclose the value of the deal and said the transaction has been approved by the Royal Group, the local partner in the venture.

The proceeds, however, including transaction costs, taxes and the release of accumulated foreign currency translation reserves equates to a A$30 million (US$22.5 million) loss on sale completion for ANZ, according to the announcement.

The agreement remains subject to final regulatory approval from the National Bank of Cambodia and the Ministry of Commerce.

ANZ Group Executive Farhan Faruqui said this joint venture has been beneficial to both ANZ and the Royal Group over the past 13 years, with ANZ Royal now a strong and successful bank.

“We view the business environment in Cambodia as attractive and recognise it’s an important growth economy in the Asean region; however the sale is in line with our efforts to exit minority investments and partnerships to focus on our Institutional business in Asia”, said Faruqui.

ANZ also announced a withdrawal from the Philippines and the sale of Shanghai Rural Commercial Bank in China.

“We remain committed to our Institutional presence in Asia. Our regional network is an important differentiator for ANZ and key to our ambition to be the best bank to support companies with trade and capital flows throughout the region,” said Faruqui.

J Trust is a Japanese diversified financial holding company listed on the Tokyo Stock Exchange with a current market capitalisation of $800 million.

In the press release on Thursday, Royal Group, owned by tycoon Kith Meng, expressed thanks to ANZ for its efforts over the past 13 years in building a strong world-class bank and welcomed J Trust as a new partner Royal Group said it looks forward to an exciting period of growth and expansion for the bank.

“Cambodia’s economy will continue its impressive growth and J Trust along with Royal Group will be actively assisting this growth,” the group said.

J Trust has operations in five countries including banking operations in South Korea and Indonesia.

ANZ will continue to own its 55 percent stake and manage the ANZ Royal business for up to 12 months, working closely with J Trust to ensure a smooth transition of ownership.

The relationship between ANZ and the Royal Group has seen some controversy in the past.

Last year, the Australian financial institution distanced itself from its local partner following a report by Cambodia’s National Police that linked Meng to illegal timber smuggling operations.

A report published by Cambodia’s National Police this week accused Royal Group, owned by Meng, of laundering illegal timber through the Lower Sesan II hydropower project. It accused the conglomerate of using its licence to clear the reservoir area as cover for its subsidiary’s laundering of timber from elsewhere.

The special session of the UN’s top rights body will consider a draft resolution calling for the council to “urgently dispatch an independent, international commission of inquiry”, the UN’s highest level investigation.

The special session comes after a month and a half of mass protests and clashes along the Gaza border, calling for Palestinian refugees to be able to return to their homes now inside Israel.

The largest demonstrations coincided with the move of the US embassy in Israel from Tel Aviv to Jerusalem on Monday, which saw Israeli forces kill some 60 Palestinians, pushing the overall toll well over 100.

Israel has justified its actions, saying they are necessary to stop mass infiltrations from the blockaded Palestinian enclave run by Islamist movement Hamas.

The draft resolution discussed Friday, presented by Pakistan on behalf of the Organization of Islamic Cooperation and backed by 47 UN member states, said the investigators should look into “all violations of international humanitarian law and international human rights law … in the context of the military assaults on large scale civilian protests that began on 30 March 2018”.

It said the aim should be to “establish the facts and circumstances” around “alleged violations and abuses including those that may amount to war crimes and to identify those responsible”.

The special session of the council came at the request of Palestine and the United Arab Emirates, on behalf of Arab countries in the council, the UN said earlier this week.

In addition to the Arab countries, China, France, Brazil, Sweden, and Switzerland were among the 51 countries who supported the special session.

The UN human rights chief Zeid Ra’ad Al Hussein is expected to speak at the opening of the session, as is the UN Special Rapporteur on the situation of human rights in the occupied Palestinian Territory.