OJK: Extension of IDR 200 Trillion SAL Fund Placement to Boost Credit Growth to Double Digits

Jakarta, VIVA – The Head of Banking Supervision at the Financial Services Authority (OJK), Dian Ediana Rae, believes that extending the period of government fund placement of IDR 200 trillion in banks for the next six months will boost credit growth to double digits.

The Cash Surplus Budget (SAL) placed by the government until September 2026, according to Dian, will also help strengthen banking liquidity while suppressing interest rates.

“Our hope is that the target set by the POJK (Financial Services Authority Regulation) will be above 10 percent, around 10-12 percent. And if we look at the signs from last month, there was a significant increase in credit,” said Dian in the Sudirman area, Jakarta, Thursday, February 26, 2026.

He explained that increased consumer confidence is also driving credit demand, especially from the MSME sector.

“The point is that there has been a slight increase, and we hope that with increasing consumer confidence, it will also encourage MSMEs to move forward again,” he said.

It is known that credit growth in January 2026 was recorded at 9.96 percent year-on-year (yoy). Meanwhile, third-party fund (DPK) growth reached 13.5 percent, and primary money (M0) growth was 11.7 percent as of February 2026.

Dian explained that, in fact, banking financing, especially to the MSME sector, cannot be optimally implemented in just six months because financing projects are generally annual.

Therefore, the extension of the policy is considered to provide more adequate space for banks to channel credit, especially to the MSME sector.

In addition, he admitted that credit demand had weakened. However, this condition was also influenced by banks taking steps to clean up their balance sheets, including writing off non-performing loans. After this process is completed, the intermediation performance is expected to strengthen again.

“When I first met with the Minister of Finance, of course, six months is not enough. I don’t think there is any financing, including financing for MSMEs, that can be carried out in six months. These projects are definitely annual,” he said. (Ant).