OJK: Extension of Rp200 Trillion SAL Funds to Boost Credit Growth to Double Digits

Jakarta (ANTARA) - Head of Banking Supervision at the Financial Services Authority (OJK), Dian Ediana Rae, believes that extending the period of placement of government funds of Rp200 trillion in banks for the next six months could encourage credit growth to reach double digits.

The extension of the placement of excess budget funds (SAL) until September 2026 is considered to strengthen banking liquidity while also suppressing interest rates.

“Our hope is that the target set by the POJK will be above 10 percent, around 10-12 percent. And if we look at the signs last month, there was a significant increase in credit,” said Dian after the The 2 Indonesia Climate Banking Forum in Jakarta, Thursday.

In this case, increased consumer confidence also encourages 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 added.

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

Dian explained that, in fact, banking financing, especially to the MSME sector, does not run optimally 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 acknowledged that credit demand had weakened. However, this condition was also influenced by banks taking steps to clean up their balance sheets, including writing off bad credit. 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 think there is no financing, including financing for MSMEs, that can be carried out in six months. The project must be annual,” he said.

Previously, it was reported that the Minister of Finance, Purbaya Yudhi Sadewa, decided to extend the placement of government funds of Rp200 trillion in banks until September 2026.

In a press conference on the February 2026 APBN KiTa Edition, Monday (24/2), Purbaya said that the funds that will mature on March 13, 2026, will be extended directly for six months so that banks do not have to worry about losing liquidity.

Since the initial placement in September 2025 to January 2026, the policy has also helped reduce interest rates. The six-month deposit interest rate fell to 4.73 percent in January 2026 from 5.03 percent in November 2025.

Meanwhile, the credit interest rate fell to 8.80 percent in January 2026 from 9.20 percent in January of the previous year.

“The placement of Rp200 trillion when it matures on March 13, 2026, will be extended directly for six months. So, banks do not have to worry about losing liquidity because the government will continue to support liquidity in the market,” said Purbaya.

The evaluation of the policy will be carried out again in September.