Indonesia cuts interest rates to help economic growth

Media said six bombs went off and a Reuters witness saw three dead people and a gunfight going on.

One of the targets of the Thursday attacks was a police station, located next to a busy shopping center, the Sarinah Mall.

After the explosions at Starbucks, a gun battle broke out between the attackers and anti-terror police squads, and gunfire could be heard more than one-and-a-half hours later.

Anti-terror police had arrested nine men in five cities on Indonesia’s main island of Java, and Badrodin said intelligence gleaned from the suspects and evidence seized from their hideouts revealed an elaborate plot to kill police, government officials, Shiite followers and others considered to be enemies of their faith.

Australian Federal Police commissioner Andrew Colvin also said the force was ready to help Indonesia.

Police said five attackers and two civilians were killed, while 10 people were injured in the attacks, which followed several warnings in recent weeks by police that Islamic militants were planning something big.

The recent growth of the Islamic State group, and fears that Indonesians who joined the group’s fighting in Syria could bring their struggle home, have sharpened concerns about security.

Indonesia’s head of national intelligence confirmed the attacks were down to terrorism but said “there are no indications yet that it’s ISIS related”.

There were reports that as many as six attackers remained inside.

“Amidst reports of attacks targeting police posts throughout central Jakarta, initial reports are that an explosion took place close to our store in the Skyline building near one of these police posts”.

It was the first major violence in Indonesia’s capital since the 2009 bombings of two hotels that killed seven people and injured more than 50.

A witness told The Associated Press that the explosions occurred inside a Starbucks cafe.

The TV also reported that another explosion occurred in Palmerah, West Jakarta.

He said: “This act is clearly aimed at disturbing public order and spreading terror among people”. Jokowi said he was cutting short his visit and returning to the capital.

Fifteen attackers including three suicide bombers took part in the attack, the source added.

At least four of the gunmen were among the dead and at least one policeman was killed.