JAKARTA: Indonesia's central bank will introduce rules next year to enhance its monetary operations and the efficiency of the country's payment systems, its governor said on Tuesday.
Bank Indonesia (BI) will launch a new mechanism for commercial banks' reserve requirement ratio, to give them more flexibility in managing liquidity, Governor Agus Martowardojo told the central bank's annual bankers' dinner.
Under present reserve rules, commercial banks in Indonesia need to keep 6.5 percent of their total rupiah deposits at the central bank on a daily basis.
If the rules are amended so that there isn't a daily requirement, the banks could find it easier to manage their funds.
The pace of lending has dropped in Indonesia this year, crimping government and central bank efforts to raise the economic growth to above 5 percent.
BI will also introduce several rules for companies offering payment services, telling them they must keep all the money for settlement and transaction data onshore in Indonesian banks.
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