Indonesia central bank's priority remains fighting inflation

Forex News Indonesia central bank's priority remains fighting inflation and doesn't believe more interest rate hikes will damp economic growth, says Governor Boediono in interview with Dow Jones; Indonesia's "aggregate demand is very strong," Boediono says, and therefore price "stability" is central bank's top priority. Comment indicate Bank Indonesia ready to hike rate later this year if inflation stays high; it expects inflation to be 11.5%-12.5% at year-end. Many analysts expect another 25bp hike in August to 9%; other than rate hike, central bank likely to continue selling USD/IDR to help reduce imported inflation.