The Interest Rate Of The Valas Deposit Becomes 4 Percent A Short-Term Strategy To Maintain Stability

US and Rupiah dollars (Photo: dock. Antara)

JAKARTA - A number of banks that are members of the Association of State-Owned Banks (Himbara) simultaneously raise the interest rate of foreign exchange deposits in the denomination of the United States Dollar (USD) to 4 percent, well above the average rupiah deposit interest rate which as of August 2025 is at the level of 3.07 percent. For information, the Association of State-Owned Banks consisting of Bank Mandiri, Bank Rakyat Indonesia (BRI), Bank Negara Indonesia (BNI), and State Savings Bank (BTN) compactly raised the interest rate of deposits of foreign exchange in US dollars (USD) to 4 percent on Wednesday, September 24. Head of Bank Permata Economist Josua Pardede explained that the increase in the interest rate of foreign exchange deposits is an aggressive step taken to attract foreign exchange funds into the domestic banking system. According to him, in the last few months, the cost of rupiah funds has decreased in line with the easing of monetary policy. He said that this policy has the potential to increase the supply of dollars in domestic banking because exporters and corporations tend to store their foreign exchanges rather than abroad. Josua added this can at the same time strengthen national foreign foreign exchange reserves as well as increase the resilience of the ruption rate of rupiah in the midst of global pressure. "According to the government's statement, it is expected to strengthen foreign exchange reserves, facilitate the availability of dollars for project import and financing needs, as well as provide additional support for the rupiah when the pressure increases," he explained to VOI, Thursday, September 25.

According to him, the increase in adjusted money bases was triggered by the increase in foreign exchange reserves, this shows that there is still room to increase foreign exchange liquidity without disrupting monetary stability. "The 4 percent policy on dollar deposits complements the policy mix that is being pursued to maintain stability and support financing," he explained. Josua views that this policy is a short-term step to contain dollar flows in the country and ensure the availability of financing for strategic sectors. However, he stressed that its implementation needs to be carried out in a measured manner so as not to interfere with the effectiveness of the transmission of monetary policy easing in the rupiah.