Finance Minister Rejects Himbara's Request to Extend SAL Fund Placement Tenor

Finance Minister Purbaya Yudhi Sadewa has rejected a request from the Association of State-Owned Banks (Himbara) to extend the tenor of fund placements from the Excess Budget Balance (SAL) to one year. Purbaya explained to journalists at the Parliament Complex that the current scheme already provides adequate flexibility to meet banking liquidity needs. The scheme can also balance the needs of the banking sector with the government’s cash position. Extending the tenor is feared to disrupt the government’s readiness to anticipate funding needs outside the budget plan. “So, the Rp200 trillion is until the end of the year, the Rp100 trillion is reviewed every three months, and the other Rp100 trillion flows in and out, it is flexible. Because we also have to anticipate if we (the government) need funds,” Purbaya said, as quoted on Wednesday (8/7/2026). The Finance Minister stated that the current scheme has been designed so that the government retains the flexibility to withdraw funds at any time when needed. Over time, Bank Indonesia (BI) will also add funds to maintain sufficient liquidity in the financial system. “Gradually, BI will also top up. If we withdraw funds, BI will replenish them. So, gradually, the money supply in the system will be more stable than before,” the Finance Minister said. Furthermore, Purbaya stated that the process of channelling additional SAL funds to Himbara is already underway. However, he did not detail the amount of distribution to each Himbara member.