Perbanas: SRBI Attractiveness Triggers Fund Competition and Pressures Liquidity
The increase in the outstanding yield and volume of SRBI is magnifying liquidity pressures and tightening competition for rupiah funds.
Jakarta (ANTARA) - Perbanas Chairman Hery Gunardi views the attractiveness of Bank Indonesia’s Rupiah Securities (SRBI) as creating two pressures for the banking sector: tightening competition for fund accumulation and absorbing liquidity, which could potentially reduce intermediation capacity.
He explained that the rising appeal of SRBI is tightening competition for fund accumulation, thereby driving adjustments in deposit pricing. This condition is making market liquidity increasingly tight.
“The increase in the outstanding yield and volume of SRBI is magnifying liquidity pressures and tightening competition for rupiah fund accumulation,” said Hery, who is also the President Director of BRI, during the Mid Year Economic Outlook 2026 event in Jakarta on Friday.
Based on Bank Indonesia (BI) data, total outstanding SRBI at the end of May 2026 reached Rp979.88 trillion, a significant increase from Rp730.90 trillion at the end of December 2025. Of this total, bank holdings amounted to Rp677.89 trillion, while non-bank holdings stood at Rp260.44 trillion, comprising Rp43.95 trillion from residents and Rp216.48 trillion from non-residents.
“This significant growth in outstanding volume shows that SRBI is increasingly becoming a competitive placement instrument, both for banks and non-bank investors,” Hery said.
BI has been strengthening SRBI yields across all tenors following a 100 basis point (bps) increase in the BI-Rate during May-June 2026. The central bank took this step to attract foreign portfolio investment inflows into domestic financial assets, thereby helping to strengthen the rupiah exchange rate.
According to the money market transaction yield curve publication, the weighted average yield of SRBI in the secondary market across all tenors tended to increase on Friday (19/6). In detail, the 1-month SRBI tenor was recorded at 6.95 percent, the 3-month tenor at 7.24 percent, and the 12-month tenor at 7.67 percent.
Alongside the 100 bps BI-Rate increase, Hery noted that this condition will structurally increase the repricing pressure on third-party funds (DPK). The recent rise in deposit rates is also expected to compress the banking industry’s net interest margin (NIM).
“This means that for banks, the cost of fund will tend to rise. If the cost of fund or cost of capital increases, then in conditions like this, discipline becomes the keyword. We are now entering an era of selective growth,” Hery said.
Although the banking industry remains relatively solid overall, Hery assessed that several pressures are beginning to emerge. DPK growth is starting to slow, NIM is compressing, and the capital adequacy ratio (CAR) has slightly declined compared to the previous month.
Amid tightening liquidity, he stressed the importance of asset and liability management discipline, as well as consistently building low-cost funds in the form of savings and current accounts. These two aspects, according to Hery, are foundations that banks must not neglect.
Hery added that banks also need to implement more selective and productive credit distribution strategies by prioritising productive sectors. This should be done while maintaining prudential principles, setting sectoral risk appetites aligned with current macroeconomic conditions, and building quality credit pipelines through a more comprehensive ecosystem approach.
He also emphasised the importance of proactive asset quality management through strict underwriting processes, more granular early warning systems, and collection readiness should collectability quality begin to decline. Furthermore, accelerating digital transformation and utilising data analytics are no longer just medium-term strategies but have become business necessities for the banking industry today.
Banking industry credit in May 2026 grew by 11.51 percent year-on-year (yoy), higher than the 9.98 percent yoy recorded in April 2026. Meanwhile, third-party funds (DPK) grew by 13.47 percent yoy, and the liquid assets to DPK ratio stood at 24.74 percent.