Thursday, August 14, 2014

BCA Decreases Interest Rate of Deposits Above a Nominal 25 Billion

PT Bank Central Asia (BCA) Tbk claimed, since August 1, 2014, has decreased interest rates for time deposits with deposits above a nominal 25 billion from 9.25% to 9%. This statement was delivered by BCA President, Jahja Setiaatmadja,  after Halal Bihalal between the Indonesian Bankers Association (IBI) and Perbanas, at the Financial Club Graha CIMB Niaga, Jakarta, Wednesday, August 13, 2014.


Furthermore, he added, a decrease in loan interest rates will continue. Next month, the Bank will also return to lower deposit rates to a level of 8.75% -8.5%.

"Interest rates for savings deposits above 25 billion already we send down 25 bps (basis points). Next month down again about 25 bps-50 bps. We will be scaled back gradually, for large deposits. "He said.

However, the Bank does not cut interest rates for time deposits with deposits under par 25 billion. It will continue to provide interest rate of 7.75% for deposits below Rp25 billion.

Lower interest rates fund this expensive because of liquidity is sufficient BCA more. In addition, the yield of Bank Indonesia Certificates (SBI) is only 7.75%. By doing so, the bank should lower interest rates expensive funds, in order to cut the costs of funds or cost of funds.

"If we have to pay the deposit with interest of 9%, while the SBI could only 7.75%, the deposit rate should be lower," he said.

According to him, the decline in deposits to savings of more than USD 25 billion, does not directly cut the cost of funds of the Bank. That is because, deposits owned BCA relatively small number of which is equal to 22% of total deposits

No comments:

Post a Comment