LPS Holds Interest Rate on Deposit Guarantee at 3.50 Percent

JAKARTA - In the Meeting of the Board of Commissioners (RDK) of the Deposit Insurance Agency on May 28, 2026, it was decided to maintain the Interest Rate Guarantee (TBP) at 3.50 percent for rupiah deposits in commercial banks. LPS also holds a TBP of 6.00 percent for rupiah deposits in the People's Economic Bank, and 2.00 percent for foreign currency deposits in commercial banks.

The Interest Rate Guarantee is valid from June 1, 2026 to September 30, 2026.

In its written statement, LPS revealed that the decision was taken by considering the development of the Rupiah Market Interest Rate (SBP) and foreign exchange which still showed limited increases, the performance of banking intermediation, especially the collection of deposits which is still strong, the condition of banking liquidity which is still adequate, and the level of competition between banks which is still healthy.

In addition, the coverage rate of fixed deposit insurance is maintained and is far above the mandate of the Law, namely exceeding 90 percent of the total bank customer accounts.

Considering these various conditions, the current applicable Guarantee Interest Rate is considered sufficient to maintain public confidence and strengthen banking stability.

LPS will continue to evaluate TBP periodically to maintain its suitability with the development of economic, banking, and financial market conditions in the future. This evaluation is carried out in an effort to maintain the credibility and effectiveness of the guarantee policy carried out by LPS.

In terms of intermediation, the performance of the national banking industry is still strong and is expected to continue to grow positively. In April 2026, third-party funds (DPK) for banking grew by 11.39 percent (yoy), followed by credit disbursement which grew by 9.98 percent (yoy).

The growth of Rupiah DPK was observed to be higher than the growth of foreign currency DPK. The positive performance of the intermediation performance was supported by the condition of capital, profitability, and bank liquidity which remained maintained so as to be able to buffer against various potential risks that may occur.