Indonesian Banks Brace for Year-End Foreign Currency Surge

Rising Demand Driven by Travel and Business Activities

As the year 2025 approaches its end, Indonesian banks are preparing for an anticipated surge in foreign currency transactions. The increased demand is primarily driven by two key factors: rising outbound travel for holiday purposes and heightened business activities among Indonesian companies.

BCA Reports Positive Growth in Forex Transactions

EVP Corporate Communication and Social Responsibility at BCA, Hera F. Haryn, confirmed that the bank has seen positive growth in its foreign currency transactions. While specific figures were not disclosed, Hera attributed this growth to both domestic and global economic fundamentals. The recovery of Indonesia's domestic economy has led to increased transactional activities, particularly in areas related to export-import businesses and remittances, which constitute the majority of BCA's foreign currency transactions.

Maintaining Adequate Liquidity

Hera emphasized that BCA is well-prepared to meet the rising demand for foreign currencies. The bank maintains adequate foreign currency liquidity in its reserves, ensuring that it can cater to the needs of both individual and corporate clients. This strategic preparation is crucial as the year-end period typically sees a spike in foreign currency transactions due to increased travel and business-related activities.

Future Outlook

Looking ahead, BCA remains optimistic about its ability to manage foreign currency transactions effectively. The bank's confidence is based on its assessment of various factors, including projected transaction growth, domestic and global economic conditions, and the potential movements in the rupiah exchange rate. By maintaining a robust foreign currency liquidity position, BCA aims to support both individual and corporate clients in their international transactions, thereby contributing to the overall stability of Indonesia's financial system.