Bank Indonesia Extends Credit Card Relief and Signals Continued Monetary Easing

Extended Credit Card Relief Measures

Bank Indonesia has decided to extend credit card relief measures until June 30, 2026. The relief package includes maintaining the minimum payment requirement at 5% of total billings, rather than increasing it to 10% as previously scheduled ¹

. Additionally, late payment fees remain capped at 1% of total billings with a maximum nominal value of Rp100,000, significantly lower than the standard rate which could reach 3% or more ¹

Source 1

https://finansial.bisnis.com/read/20251217/11/1937625/diskon-denda-keterlambatan-minimum-bayar-kartu-kredit-diperpanjang-hingga-juni-2026

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Monetary Policy Stance for 2026

BI Governor Perry Warjiyo announced that the central bank is committed to continuing its accommodative monetary policy stance into 2026. The bank will maintain three key monetary policy strategies: interest rate management, exchange rate stabilization, and liquidity management ⁵

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Potential Further Rate Cuts

While maintaining the current BI Rate at 4.75%, BI has left the door open for potential further rate reductions in 2026. The decision will be data-driven, depending on inflation trends, economic growth, and exchange rate stability ³

. Economist Josua Pardede from Bank Permata notes that while there is still room for rate cuts, the scope for easing is likely to be more limited compared to 2025 ³

Source 3

https://nasional.kontan.co.id/news/ruang-penurunan-bi-rate-di-2026-lebih-terbatas

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Aggressive Liquidity Expansion

BI is planning an aggressive liquidity expansion in 2026, targeting double-digit growth in primary money (M0 Adjusted) starting from December 2025. This expansion will be achieved through three main channels ⁵

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1. Reduction of BI's Rupiah Securities (SRBI) holdings, which has already decreased from approximately Rp920 trillion to around Rp700 trillion, injecting over Rp200 trillion into the market.
2. Continued purchase of government securities (SBN) in the secondary market, with BI having purchased Rp327.45 trillion worth of SBN as of December 16, 2025.
3. Remuneration on excess reserves held by commercial banks at BI, set at 3.5% (25 bps below the Deposit Facility rate), to encourage banks to lend more actively.

Coordination with Fiscal Policy

BI emphasizes that the effectiveness of its liquidity injection depends on coordination with fiscal policy. Governor Warjiyo stressed the need for continued collaboration with the Ministry of Finance to ensure that liquidity reaches the real sector ⁵

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