Rich Customer Savings Grow Slow, LPS Boss Reveals Reasons

JAKARTA - The Deposit Insurance Corporation (LPS) noted that the savings of wealthy customers with a nominal value of more than IDR 5 billion in August grew slowly. The chairman of the LPS Board of Commissioners, Purbaya Yudhi Sadivewa, said that in August it only grew 6.79 percent.

"It's a bit lower than the previous month which grew by 7.69 percent," said Purbaya, quoted on Saturday, September 30. Purbaya said that this decline was caused by entrepreneurs who used their funds for business development.

"We assume that most of them are data companies, they are also doing business or using their own money for business expansion so that their growth savings tend to slow down," explained Purbaya.

Meanwhile, savings with a nominal below Rp. 100 million were observed to experience positive growth after previously growing negatively.

"If it is below Rp. 100 million, the growth will somewhat increase now at 3.83 percent. The lowest in April grew negatively by 0.85 percent," added Purbaya.

The increase in the amount of savings is below Rp. 100 million, said Purbaya, driven by the economic movement that is starting to be felt so that customers are increasingly saving.

LPS decided to maintain the Rupiah Savings Guarantee Interest Rate at Commercial Banks and BPR, as well as foreign exchange deposits at Commercial Banks.

LPS maintains Rupiah deposits in commercial banks and BPRs of 4.25 percent each at commercial banks and 6.75 percent at the People's Economy Bank (BPR). For TBP foreign exchange deposits (foreign currency) at commercial banks, it is 2.25 percent.

"Furthermore, the TBP will apply for the period for the period 1 October 2023 to 31 January 2024," continued Purbaya

He explained that this decision was taken to maintain the momentum of economic recovery and support the performance of banking intermediation, provide advanced space for banks in the management of liquidity and deposit interest rates; and maintain cross-authority policy synergies to create financial system stability.

Purbaya also appealed to banks to transparently convey to store customers about the current amount of Guarantee Interest Rate.

"Among other things, by placing this information in places where customers are easily known and through the information media and bank communication channels to customers," he said.