The Financial Inclusion Target Is Only 90 Percent In 2024, Here's The Reason

JAKARTA - Deputy Governor of Bank Indonesia (BI), Juda Agung said, the target level of financial inclusion in Indonesia is 90 percent by 2024. As for 2023 financial inclusion reached 88.7 percent, this figure is higher than the previous year which was 85.1 percent.

According to Juda, the target for the financial inclusion rate in Indonesia of 90 percent in 2024 is quite good, because in the 2000's financial inclusion was still at the 60 percent level.

"Now the financial inclusion is 88.7 percent, 90 percent of the target will be achieved this year," said Juda to the media crew after holding an Inclusive National Board of Finance Coordination Meeting (DNKI), Friday, March 22, 2024.

Juda added that this year's inclusion target will be achieved driven by high literacy and digitalization rates. Where people who used to be difficult to open a bank account are now made easier online so they don't have to come to the bank.

Juda explained the reason why DNKI does not target a 100 percent level of financial inclusion, because there are still illiteracy problems in Indonesia, and there are also people who live in poverty.

"Not everyone, 90 percent are still illiteracy. In the past, 40 percent were in the 90s or 2000s. To be 100 percent of adults, not all of them have an account because maybe they live on the poverty line, are still illiteracy and others," he said.

For information, the increase in financial inclusion in 2023 of 88.7 percent was driven, among others, through the KEJAR (One Account One Student) program which has reached 53.9 million accounts or an increase of 2.8 percent year on year (yoy).

Furthermore, it was driven by electronic money ownership which had reached 150.7 million accounts, an increase of 11.2 percent (yoy). And driven by the opening of bank accounts for Mekaar customers of 13.68 million accounts or an increase of 92 percent (yoy).