TheJakartaPost
Please Update your browser
Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.
BCA to raise time deposit rate by another 0.25 percentage points
Change Size
People withdraw cash at ATMs of BCA. (Kompas/Heru Sri Kumoro)
P
rivate lender Bank Central Asia (BCA) plans to increase its time deposit interest rate by 0.25 percentage points next month in adjustment to Bank Indonesia’s (BI) increasing benchmark rate.
As of July, BCA has already increased its interest rate by 0.75 percentage points following BI’s decision to raise its seven-day reverse repo rate by 50 basis points to stabilize the rupiah.
Currently, BCA’s rupiah time deposit interest rate ranges from 4.75 percent to 5.25 percent, while the dollar time deposit interest ranges from 0.95 percent to 1.25 percent depending on the maturity.
President director Jahja Setiaatmadja said on Thursday that the increase could also boost the bank’s time deposit funds, which had decreased by 7.6 percent year-on-year in the first half of this year to Rp 134.3 trillion (US$9.3 billion) due to last year’s low-interest rate, which made customers less interested in opening time deposit accounts.
“However [since BI raised its rate], we have increased our time deposit rate three times in April and June by 0.25 [percentage points] each,” he said, as quoted by kompas.com. “We hope that this can help increase […] time deposit funds.”
Meanwhile, BCA booked 8.4 percent year-on-year increase in profit in the first half of this year to Rp 11.4 trillion.
The bank also booked a 7.6 percent year-on-year increase in operational revenue, which consists of interest and other operating income, to Rp 29.5 trillion in the first half of this year from Rp 27.4 trillion. (ris)
