Bank Indonesia (BI) has announced an expansion of its macroprudential liquidity incentives (KLM) for 2025, directing Rp290 trillion to support job-intensive sectors. The policy aims to stimulate industries that contribute significantly to employment, including agriculture, trade, housing, and manufacturing.

Deputy Governor Juda Agung detailed the initiative during a press conference on BI's annual meeting in November 2024. He stated, “There is an additional Rp39 trillion in liquidity, from Rp251 trillion to Rp290 trillion.”

State-owned banks (BUMN) are set to receive the largest portion, totaling Rp126 trillion. Private banks will share Rp129 trillion, while regional development banks (BPD) are allocated Rp30 trillion. Seven foreign bank branches operating in Indonesia will also benefit, receiving an unspecified amount.

The expanded allocation represents a 15.54% increase compared to 2024. This adjustment reflects BI’s focus on boosting economic activity in labor-intensive sectors, which are vital for maintaining employment stability in the face of economic challenges.

CNBCINDONESIA