OJK Unconcerned About SAL Funds in Banking Used for Government Securities

The Executive Head of Banking Supervision at the Financial Services Authority (OJK), Dian Ediana Rae, does not object to excess budget balance (SAL) funds placed in state-owned bank association (Himbara) member banks being used to purchase government securities. She stated that investments in SBN are only temporary and not for the long term.

“Why leave the money idle? It’s better to invest it at any percentage,” Dian told the media at the Supreme Court in Jakarta on Wednesday, 25 March 2026. However, she added, the ultimate goal of a bank is to provide credit.

According to Dian, the interest earned by banks from SBN is also not as high as the interest obtained from credit disbursements. If credit demand is already sufficiently high, she said, the banking sector is likely to no longer invest in SBN. Thus, there is no issue if SBN is used for temporary investments.

In addition, Dian said banks will also help the state if they invest in SBN. “It goes back to helping the state with fiscal financing, right,” she remarked.

Previously, Finance Minister Purbaya Yudhi Sadewa stated that he had increased SAL placements in Himbara by Rp100 trillion. He said this addition aims to increase liquidity in the economic system.

According to Purbaya, the lack of liquidity is evident from the rising yields on securities. He hopes the additional excess budget funds can hold back the increase in yields. “A week before Lebaran, I added another Rp100 trillion to the economic system,” Purbaya said at the Ministry of Finance office in Jakarta on Wednesday, 25 March 2026.

He did not detail which banks and how much funding was channelled. However, Purbaya mentioned that Bank DKI received around Rp2 trillion.