September 2016, Bank Liquidity Reached Rp 1.278 Trillion

Unutilized funds or disbursed credit in national banks until September 2016 reached Rp 1,277.5 trillion, a 4.76 percent increase from the year-end position of Rp 1,219.52 trillion. This figure also increased by 0.9 percent compared to the previous month, which was Rp 1,265.88 trillion.

The slowing domestic economy and global economic uncertainty have made large banks very cautious about disbursing credit. Business expansion is also limited amid the still uncertain economic conditions, resulting in credit disbursement growth of only 3.8 percent, slower than the amount of credit that remains undisbursed.

Category III Commercial Banks (BUKU III) recorded Rp 742 trillion in undisbursed credit, or about 34 percent of the total. Meanwhile, Category I Commercial Banks (BUKU I) recorded the smallest amount of undisbursed credit.