Banking Policies Idling in the Central Bank - Economy - magz.tempo.co

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Banking Policies Idling in the Central Bank

Tuesday, September 1, 2009

Funds in Bank Indonesia Certificates are still piling up. But interest on loans has not yet dropped, so it is difficult for credit to grow.

. tempo : 173167004698.

THE attraction of Bank Indonesia Certificates (SBIs) is certainly extraordinary. Even though the Bank Indonesia reference interest rate kept declining, funds deposited in these monetary control instruments have not been reduced but in fact have piled up even more. Up until July, money deposited in SBIs amounted to Rp253.9 trillion. Cash absorbed from the national financial system into SBIs exceeds Rp100 trillion even though the SBI interest rate

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