Interest Credit Prompted Decline

The interest rates can not fall in the near future. Banking difficult to respond to the decline in interest rates, Bank Indonesia are still high because of bad debts following the economic crisis. Banking prefer to save their first fund. Therefore, observers expressed the money market, Poltak Hotradero, in Jakarta, Friday (5 / 12). 
"Now that there are some banks overlikuiditas in a very large, there is a lack of liquidity in the small bank. Tend banks keep large current liquidity because they see the 2009 Performing loans will be increased," said Poltak. 

Banks can not directly respond to the decrease in SBI interest rate with lower credit costs because of high interest such as deposits and giros must be paid. They had difficulty adjusting because the SBI, which is used as a reference only down 0.25 percent. 

For the industry, a decline of 25 basis points SBI is still considered too small. With the interest rate that is normally applied to the 18 to 24 percent, the BI rate should be decreased so that larger banks may also reduce interest rates more credit. "We can just as it has water, SBI, down 0.25 percent," said Chairman of the Indonesian Employers Association, Anton Supit. 

Thus, society seems to be patient with a higher interest rate. Even those who will find a simple house also seems to be delaying until next year because if I fall, banks will lower interest home ownership loan (KPR) in the range of 12 percent