Rupiah Drops, Bank Mandiri Is Optimistic That Liquidity Is Maintained

Illustration (Photo: Doc. ANTARA)

Bank Mandiri ensures that liquidity conditions are still solid amid exchange rate fluctuations caused by current economic and geopolitical turmoil.

Bank Mandiri Corporate Secretary Teuku Ali Usman assessed that in managing liquidity, his party has implemented an electoral asset management optimization strategy that is monitored prudently while still implementing all aspects in risk management. This includes market and liquidity risks.

"We are committed to continuing to optimize asset management and liabilities in order to anticipate market turmoil. This is in line with a statement from the Ministry of SOEs so that state-owned companies can anticipate the turmoil in the money market due to the current geopolitical development by proportionally maintaining the portion of credit affected by the volatility of the rupiah, interest rates and oil prices," Ali said in his statement to the media, Friday, April 19.

Ali said that Bank Mandiri's fundamental condition is in good health with a strong capital level which can be a buffer if there is a shock to the economy and financial market.

Ali added that strengthening the US dollar exchange rate against the rupiah at this time has indeed indirectly had an impact on the collection of Valas Third Party Funds (DPK) to support the company's business expansion and liquidity needs.

It was recorded that until February 2024 Bank Mandiri had recorded a collection of DPK of Rp1,209 trillion, growing 5.77 percent yoy with a foreign exchange rate of 17.3 billion US dollars.

Then the collection of the Valas DPK was mainly driven by Giro valas which grew by 4.35 percent reaching Rp12.7 billion. Meanwhile, the position of the foreign exchange loan to deposit ratio (LDR) can be maintained below the 90 percent level.