Money Circulating In May 2024 Grows 7.6 Percent, Reaches IDR 8,965 Trillion

JAKARTA - Economic liquidity or money supply in a broad sense (M2) in May 2024 grew higher than the previous month.

Assistant Governor of Bank Indonesia (BI) Erwin Haryono noted that the M2 position in May 2024 was recorded at IDR 8,965.9 trillion, an increase of 7.6 percent year on year (yoy), higher than the previous month's growth of 6.9 percent (yoy).

"This development was mainly driven by the growth of money in narrow circulation (M1) of 6.3 percent (yoy) and quasi money of 8.8 percent (yoy)," Erwin said in his statement, Friday, June 21.

Erwin said that the development of M2 in May 2024 was mainly influenced by the development of lending and net foreign assets.

Erwin said that credit disbursement in May 2024 grew by 11.4 percent (yoy) after growing by 12.3 percent (yoy) in the previous month.

Then it was also driven by net foreign assets which grew by 0.6 percent (yoy), better than the previous month which contracted by 1.1 percent (yoy).

Meanwhile, net bills to the central government grew by 22.7 percent (yoy), after growing by 25.8 percent (yoy) in April 2024.