LPS Denies Residents Eating Savings, Savings Below Rp100 Million Still Growing

JAKARTA - The Deposit Insurance Corporation (LPS) has denied the phenomenon of people rushing to withdraw savings to meet their living needs. LPS said savings in all nominal groups are still growing, including accounts below Rp. 100 million.

LPS Chairman Anggito Abimanyu said growth also occurred in large-value deposits, up to more than IDR 5 billion.

"No. Everything is still growing, both savings below Rp100 million and up to Rp5 billion," said Anggito at the Presidential Palace Complex, Jakarta, Monday, July 27.

According to Anggito, the growth in deposits shows that people's funds are still entering the banking system. This movement is also considered to support economic activities, especially the real sector.

"That shows that the circulation of funds entering the bank supports economic activities, especially the real sector," he said.

Anggito also said the amount of money in circulation in a broad sense or M2 had increased. However, he did not specify the growth rate or the data period.

This statement was made when Anggito was asked about people's concerns about using savings to cover daily expenses.

LPS did not provide details of deposit growth based on account groups. Anggito only confirmed that all groups, from small to large deposits, still recorded an increase.