LPS: Middle-Class Savings and Account Activity Improve

The Deposit Insurance Corporation (LPS) has stated that although growth in Micro, Small, and Medium Enterprise (MSME) credit remains low, other indicators confirm that grassroots economic activity is gradually improving. LPS Board of Commissioners Chairman Anggito Abimanyu said the perception of economic recovery is not only occurring at the macro level, such as fiscal and monetary stability and foreign exchange reserves, but is also measurable in the micro sector. “It was mentioned that SME credit growth is only one per cent, 1.6 per cent as of June, or 0.5 per cent as of May. It seems very low. But if we dissect it further, there are actually many indicators showing that the micro sector is also doing well,” he said after a meeting with Commission XI at the DPR RI building in Jakarta on Monday (20/7/2026). Anggito emphasised that LPS data shows the number of super micro accounts and their nominal values continue to rise, although the increase is tending to slow. “We hold the super micro data, the accounts, the number of accounts is increasing, the number of accounts per group, per middle group, per upper group,” he said. He noted that middle-class savings also recorded growth, both in nominal value and the number of accounts. Although he acknowledged a slowdown in the last three months on a year-to-date basis, the figures are still rising year-on-year. “The nominal amount and the number of accounts are rising. Especially year-on-year. Year-to-date, there has been a slowdown in the last three months, but it is still rising. So there is economic activity taking place. That is the first point,” he explained. He noted that LPS data shows the most significant growth occurred in savings with balances above IDR 5 billion. Anggito assessed that the upward trend in savings across various groups indicates that people’s incomes are still sufficient to meet consumption needs and economic activity while leaving room to save. “There are transactions. This means if savings are up, consumption must be up too. Savings are a part of income. Income is consumed, the remainder is saved. If it rises, it means consumption also rises,” he stated. Regarding financial inclusion, Anggito revealed that the number of unbanked residents continues to shrink by around two million people each year. Currently, it is estimated that only around 15 million residents remain without an account. “Every year I monitor it, it drops by about two million. Now only 15 million remain. This means people have accounts for their activities. Furthermore, the number of active accounts is also increasing now,” he disclosed. The increase in active accounts is also accompanied by high mutation or movement of accounts for payment and receipt purposes. According to the LPS, this is valid evidence that the economy at the grassroots level remains active and moving. “So it shows the economy is actively moving. The transfer of accounts for payments and receipts is rising,” he said. “Later we will try to elaborate further on the micro and super micro aspects. That is the movement or mutations of accounts. Active accounts are also increasing and inactive accounts are decreasing,” he concluded.