Approaching The End Of The Year, Bank Indonesia Reports That The Money Supply Continues To Increase

Illustration. (Photo: Doc. Antara)

JAKARTA - Bank Indonesia (BI) reports that economic liquidity or money supply in a broad sense (M2) will increase in November 2021. Head of the BI Communications Department Erwin Haryono said the position of M2 in November 2021 was recorded at IDR 7.572.2 trillion.

"This figure is up 11 percent compared to the same period the previous year (year-on-year/yoy) and higher than the previous month's growth of 10.5 percent," he said as quoted on the official website, Thursday, December 23.

According to Erwin, the increase was driven by the acceleration of money supply in the narrow sense (M1) by 14.7 percent yoy and quasi money by 7.0 percent yoy.

"M2 growth in November 2021 is influenced by credit distribution and net foreign assets," he said.

Meanwhile, lending grew by 4.4 percent yoy, up from the previous month's growth of 3.0 percent yoy.

Then, net foreign assets also grew 10.6 percent yoy or higher than the October 2021 growth of 5.7 percent yoy.

"Meanwhile, net bills to the central government grew steadily by 30.4 percent year-on-year," concluded Erwin.