"The funds in rupiah are still sufficient and there is even an excess of liquidity in our banks as seen in the price indicators and amount of banks` liquidity in Bank Indonesia," the director of the central bank`s directorate of economic research and monetary policy, Perry Warjiyo, said here on Tuesday.
He said in terms of price seen from the overnight interest rate in the inter-bank money market (PUAB), the rate is at an average of 4.55 percent or very low and in line with the cut in the BI Rate while the Jibor (Jakarta Inter-bank Offered Rate) had also decreased.
The drop in the PUAB rate shows that banks` liquidity is still huge, he said.
He said until November 4, banks` liquidity in the central bank reached Rp774.2 trillion consisting of girocheques Rp195.5 trillion, monetary instruments such as term deposits and SBI (Bank Indonesia Certificate) reaching Rp310.5 trillion and in State Debentures (SUN) Rp268.3 trillion.
"Seen from the figures the banks` liquidity is still very large and this can be used to extend credits and for investment," he said.
Regarding foreign currencies in banks Perry said seen from net deposits the average value is 2.7 percent or still very sufficient for banks although some banks have a value of 11 percent.
"Based on the situation it was seen that banks did not suffer foreign currency liquidity pressure," he said.
He said what banks have often faced was demand for foreign currencies that do not match with the supply due to increasing demand from the government and companies.
(Uu.H-YH/HAJM/B003)
Editor: Priyambodo RH
Copyright © ANTARA 2011
