Purbaya Confirms Rp 200 Trillion State Funds Placed in Five Banks at 80% of BI Rate
Key Takeaways
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JAKARTA, Investortrust.id — Finance Minister Purbaya Yudhi Sadewa confirms that the government has placed Rp 200 trillion, equal to $12.8 billion, in five national banks on Friday, Sept. 12, 2025. The funds are deposited under a special arrangement with an interest rate of 80.476 percent of the Bank Indonesia (BI) benchmark, aiming to channel liquidity directly into the real sector.
The placement is structured as a deposit on call (DOC), a flexible deposit scheme with a six-month tenor that can be extended. Unlike a fixed time deposit, DOC allows relatively liquid withdrawals while still earning interest. The arrangement is intended to accelerate credit distribution rather than being diverted into government bond purchases.
“This is not a conventional time deposit, but something similar. It is liquid like a current account,” Purbaya said at the Coordinating Ministry for Economic Affairs in Jakarta on Friday. He stressed that the main objective is to move idle state funds into productive lending.
Distribution to Five Banks
Under the scheme, the government disbursed Rp 55 trillion each to Bank Mandiri, Bank Rakyat Indonesia (BRI), and Bank Negara Indonesia (BNI). Bank Tabungan Negara (BTN) received Rp 25 trillion, while Bank Syariah Indonesia (BSI) received Rp 10 trillion.
The five state-controlled banks are required to sign partnership agreements with the Directorate General of Treasury, covering obligations such as reporting, usage restrictions, and penalties for non-compliance. Each bank must submit monthly reports on how the funds are deployed, with strict rules that prohibit their use for purchasing government securities.
“This is designed to flow into the real sector. If banks only park the funds in bonds, the purpose would be defeated,” Purbaya said.
Interest and Tenor
The placement carries a return of 80.476 percent of the BI 7-Day Reverse Repo Rate (BI7DRR), currently set at 6.25 percent. This means the government will earn roughly 5.03 percent annually from the deposits.
The tenor is six months and may be extended if needed. Risk management measures are built in: if a bank fails to return the funds on maturity, the government can deduct directly from the bank’s statutory reserve requirement at BI.
Purbaya underlined that banks have no choice but to channel the funds into loans, as the cost of holding the money without lending would be around 4 percent. “They will think hard about how to use the funds, because otherwise they would incur losses,” he said.
Regulatory Framework
The placement is based on the Ministry of Finance Decree No. 276 of 2025 on the Use of State Funds for Managing Surplus and Deficit Cash Balances to Support Economic Growth. The decree implements the broader Regulation No. 44 of 2024, which outlines strategies for optimizing government cash management.
Banks must comply with restrictions that explicitly forbid the placement from being used for secondary trading or speculative purposes. Oversight is conducted by the Government Internal Supervisory Apparatus in coordination with Bank Indonesia.
Market Reaction
The announcement of the Rp 200 trillion injection was immediately reflected in capital markets. Shares of state banks rallied on the Indonesia Stock Exchange (IDX) on Friday afternoon. Bank Rakyat Indonesia (BBRI) rose 1.47 percent to Rp 4,140, Bank Mandiri (BMRI) gained 0.89 percent to Rp 4,520, BTN (BBTN) surged 4.06 percent to Rp 1,410, BNI (BBNI) climbed 1.81 percent to Rp 4,500, and BSI (BRIS) advanced 1.88 percent to Rp 2,710.
The movement lifted the Jakarta Composite Index (IHSG) by 95 points, or 1.23 percent, to 7,842, supported by gains in banking, energy, materials, and property stocks. Analysts noted that the liquidity injection could boost loan growth in the coming quarters, reinforcing confidence in the government’s growth-supportive policy stance.
Economic Implications
The government expects the placement to stimulate lending in priority sectors, especially micro, small, and medium enterprises (MSMEs), infrastructure, and consumer credit. By channeling idle funds from BI accounts into banks, the policy aims to multiply its effect across the economy, lifting investment and household consumption.
Purbaya said he is confident the banks will gradually release the funds as credit. “The funds have been sent, and now the banks will figure out how best to lend them. This will move the economy,” he said.
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