Dear Tutors, please help me for answer the question bellow :

The impact of lowering interest rates will occur in 2020

Bank Indonesia said the impact of the Bank Indonesia 7 Day Reverse Repo rate cut

The impact of 0.25 percent from 6 percent to 5.75 percent will only be felt

on economic growth 2020. Governor of Bank Indonesia Perry Warjiyo said

Bank Indonesia's decision to cut interest rates is in line with the low inflation forecast

below 3.5 percent.

The basis for reducing interest rates is also to promote growth momentum

economy amidst global financial market uncertainty

controlled external stability. "The magnitude of the cut in interest rates has only been felt

next year due to the policy there is a grace period to have an impact on the sector

real, "said Perry in Jakarta, Thursday.

He added that economic growth this year is expected to be below the point

middle 5-5.4 percent without this rate cut.

"With various policies to ease liquidity, ease the reserve requirement, lower rates

interest, hopefully PE will not be too far below the midpoint of 5-5.4 percent, or not too much

far from 5.2 percent, "explained Perry.

Meanwhile, Perry said that economic growth next year is estimated at 5.1-

5.5 percent and has the potential to fall down in the event of a trade war

prolonged.

"So we anticipate this with monetary, macroprudential and payment system policies

which is accommodative in order to mitigate the impact of the trade war, "he continued.

However, Perry added that other policies from the fiscal and OJK sides were still needed

economic growth next year could be higher than this year.

Question

Describe the impact of lowering interest rates in Indonesia on net capital outflows and

balance of the Indonesian economy

Thanks