Invite The Community Of Savings Valas In Indonesia, The Boss Of LPS: We Are Safer THAN Singapore And Thailand

Illustration (Photo: Doc. Antara)

JAKARTA - Chairman of the Board of Commissioners of the Deposit Insurance Corporation (LPS) Purbaya Yudhi Sadive said that people don't have to worry about saving foreign currency (foreign currency) in Indonesian banking.

The reason is, connecting foreign currency in Indonesia is safer than other countries.

"People who save money abroad should not hesitate to save in Indonesia. We are safer than neighboring countries such as Singapore and Thailand," he said at a press conference in Jakarta, Wednesday, December 7.

So far, he said, people prefer to save abroad rather than in Indonesia because it is considered safer.

In fact, continued Purbaya, the value of deposits guaranteed by LPS is much higher both nominally and relatively to Gross Domestic Product (GDP) per capita compared to deposit guarantor authorities in Thailand and Singapore.

For information, the maximum nominal savings guaranteed in Thailand is 1 million baths in Thailand equivalent to IDR 443,120,000.

Meanwhile, customer deposits guaranteed in Singapore are a maximum of 75,000 Singapore dollars.

He added that domestic foreign exchange demand to fund credit in foreign exchange denominations increased significantly as the national trade balance surplus continued to set a positive record.

This right-shifted foreign exchange demand curve also raises domestic foreign exchange interest rates.

"It is important to know that LPS guarantee coverage is wider, where in addition to deposits in the form of Rupiah, foreign exchange savings are guaranteed a maximum of IDR 2 billion per customer per bank, where not all countries such as Singapore and Thailand guarantee foreign exchange deposits," he explained.

"The value of the deposits guaranteed by LPS is much larger both nominally and relatively to GDP per capita compared to the deposit guarantor authorities in Thailand and Singapore," continued Purbaya.

The performance of the national banking industry remains stable, both in terms of capital, liquidity and financial intermediation, where the industrial capital ratio (KPMM) was maintained at the level of 25.13 percent in the October 2022 period and liquidity was also complex with the AL/NCD ratio at the level of 130.17 percent and AL/DPK at 29.46 percent.