Use Of Slow Credit Cards, Signals The Economy Is Starting To Stall?

Governor of Bank Indonesia Perry Warjiyo. (Photo: Doc. ANTARA)

JAKARTA - Bank Indonesia (BI) reported that there was a decrease in the use of credit cards, debit cards, and ATM cards throughout July 2023 by 4.26 percent year on year (yoy) to IDR 707.9 trillion.

However, BI Governor Perry Warjiyo believes that this condition will not have a significant impact on the national economy.

"The performance of digital economic and financial transactions remains strong, supported by a safe, smooth and reliable payment system," he said during a press conference in Jakarta on Thursday, August 24.

For information, during the second quarter of 2023, the value of Cs credit card transactions was recorded at IDR 2,115.57 trillion or grew by 3.0 percent year on year.

"Bank Indonesia continues to encourage the acceleration of digitalization of payment systems and the expansion of cooperation between countries in payment systems to encourage financial economic inclusion and expansion of the digital economy and finance," he said.

Perry also said that the value of digital banking transactions was recorded at IDR 5,035.37 trillion or grew by 15.50 percent.

Then, QRIS transactions continued to show growth of 84.50 percent, reaching Rp18.01 trillion, with 38.24 million users and 27.51 million merchants, most of which are MSMEs.

For information, Bank Indonesia predicts that the level of economic growth during the third quarter of 2023 will not change much compared to the previous period.

"The growth in the third quarter will still be the same as in the second quarter," said Perry.

Previously, Minister of Finance (Menkeu) Sri Mulyani had said that economic performance in the third quarter of this year was greatly influenced by government spending.

"In the third quarter of 2023, economic growth will depend on government spending," he said some time ago.

To note, in the 2023 State Budget Law, a target for economic growth is set in the range of 4.5 percent to 5.3 percent.

However, after the first semester of 2023, the government through the Ministry of Finance began to be realistic by targeting a growth target of 5.1 percent for 2023.

Meanwhile, in the 2024 State Budget Draft which was submitted to the DPR in the middle of this month, it is stated that next year's growth target is 5.2 percent.