LPS: Decline in Unbanked Population Proves Economy is Moving

The Chairman of the Board of Commissioners of the Indonesia Deposit Insurance Corporation (LPS), Anggito Abimanyu, has stated that the decreasing number of people without bank accounts indicates that economic activity within the community continues to move. Following a meeting with the Financial System Stability Committee (KSSK) and Commission XI of the Indonesian House of Representatives (DPR RI) in Jakarta on Monday, Anggito noted that the number of residents without an account is currently dwindling.

Based on LPS records, he stated that the number of people without a bank account decreases by 2 million individuals each year, leaving 15 million people currently without an account. According to him, this condition shows that more people are utilising accounts to support various economic activities.

“It means people have accounts for activities. Furthermore, the number of active accounts is also increasing over the last year. So, it shows the economy is active. Account transfers, payments, and receipts are up,” he said. Anggito mentioned that the LPS will conduct further studies to observe the movement of public economic activity from a super micro perspective, including account mutations.

“We will try to elaborate further on the micro and super micro aspects. That is the movement or mutations of accounts,” he stated. Regarding the national economic conditions discussed in the meeting, Anggito said that macro indicators show improvement, ranging from fiscal conditions to the strengthening of foreign exchange reserves. Anggito added that from another micro perspective, there are positive developments visible in the number of accounts and the value of public savings.

“The increase has slowed down a bit, but it is still rising. The nominal amount and the number of accounts are up. Up to the highest level, the largest ones, those above Rp5 billion in savings, the increase is very high,” he said.