Indonesia central bank says it is monitoring banking liquidity

JAKARTA, July 17 (Reuters) - ‌Indonesia's central bank ​on ​Friday said it was monitoring the distribution of liquidity in banks to ensure lenders ‌have a liquidity level that supports stability as ⁠well as economic growth.

• The overnight interbank rate INDONIA has fallen ‌to 6.17% as of ‌Thursday, from 6.62% in June 2026, reflecting lessening bids in the interbank market, Bank Indonesia's senior deputy ​governor Destry Damayanti said in a statement.

• Going forward, the central bank will continue to make ⁠sure there was adequate liquidity in banks so that "the distribution of liquidity among ​banks is well maintained and supportive towards processes of efficient interbank interest rate discovery," she ​said.

• The central bank has ‌also conducted intensive communication with banks to resolve obstacles regarding liquidity distribution while ensuring ⁠risks are well managed, she added.

• In June, Finance Minister Purbaya Yudhi Sadewa and central bank Governor Perry Warjiyo ⁠briefly agreed to move some of the government's funds from state-owned ​commercial banks to the central bank, which had affected banking liquidity.

• Purbaya later moved the funds back to the state banks ‌and added even more, in a bid to spur lending growth.

• The central bank ‌has this year raised its policy rates by 100 ⁠basis points, seeking to ‌attract fresh capital ​inflows to support the falling rupiah currency

(Reporting by Gayatri Suroyo, Stefanno Sulaiman; Editing by Martin ‌Petty)

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• USDA cyclospora research projects shelved amid funding cuts and relocations, Politico reports
• Niger says it regains control of airbase after soldiers mutiny
• Seven die, many more missing after ferry capsizes off North Cyprus