Prabowo Does Not Require Himbara Banks to Hold Lending Rates

President Prabowo Subianto did not instruct banks within the Association of State-Owned Banks (Himbara) to hold lending rates amid the increase in the BI Rate. The clarification was made during a meeting with directors and commissioners of state-owned banks at the State Palace in Jakarta on Thursday (19/6/2026).

National banking credit growth reached 11.51 per cent in May 2026, with third-party funds (DPK) increasing by double digits. Meanwhile, the average non-performing loan (NPL) ratio for Himbara banks is currently recorded at a safe range of 0.9 per cent to 1.8 per cent.

Minister of Investment and Downstreaming/Head of BKPM and CEO of Danantara, Rosan Roeslani, confirmed the absence of specific directives from the Head of State regarding holding interest rates. “There is none. No (directive from the President for Himbara to hold rate increases),” said Rosan Roeslani.

The government hopes that financing distribution to the public and businesses will continue to run optimally. Efficiency measures and increased banking productivity are key points to ensure that MSME players are not burdened by excessively high borrowing costs.

“Those are precisely the things that must be improved, whose efficiency must be enhanced so that even though there is an interest rate increase, lending to the public, to businesses, especially MSMEs, can still be maintained at a good level, at the same level,” said Rosan Roeslani.

The structure of the national banking industry is currently considered to have a strong foundation to support economic growth. The financial sector is expected to perform its strategic role optimally while still applying strict prudential principles.

“The President gave the view that banking can play a very important role in all sectors as the lifeblood of our economy. It was also described how large the role of these government banks is in helping to make government programmes successful, but also while still adhering to the principle of prudence,” said Rosan Roeslani.

President Director of PT Bank Mandiri (Persero) Tbk, Riduan, also stated the same thing on a separate occasion after attending the meeting, which also involved leaders from BNI, BRI, BTN, and BSI. “There was no such directive. Our main point is that we will continue to support economic growth,” said Riduan.