BI DEFISIT

Deficit BI
Balance of Bank Indonesia's largest contributor deficit deficit is an effort to attract and keep excess rupiah liquidity.
JAKARTA - The economic situation is uncertain in the world and within the country, joined an impact on the balance sheet of Bank Indonesia (BI) 2007. The proof, based on 2007 financial statements, BI deficit up to Rp 1.4 trillion.
"As much as 80 percent of the deficit figures are donated by the policy to absorb excess liquidity due to pressure on the rupiah," said BI Deputy Governor Budi Mulya, Monday (19 / 5), in Jakarta. BI 2007 Financial Report was audited Pemerika Agency (BPK) and received unqualified opinions (WTP).
Budi explains, when world crude oil prices continued to move up, then inflation becomes a threat the economy, not only domestically but also globally. Related to that, he continued, BI, the central bank to do three things. First, raising interest rates the BI rate, which is now in a position to 8.25 percent. Second, the rupiah volatility, not to drop too sharply. Third, in order to manage liquidity sufficient but not excessive.
"If the excess liquidity it will be increasingly pushing inflation expectations," added Blake. Efforts to suck excess liquidity and volatility of the rupiah that contribute greatly to the BI deficits. Budi added increase in primary commodity prices is feared would encourage increased cost pressures (cost push inflation). Parties BI, he said, estimating inflation throughout Indonesia in 2008 could be above 9 percent, even more if the increase in fuel price (BBM) was applied.
Despite the deficit, Budi confirmed, that the condition does not necessarily reduce the credibility of central banks. "Consideration of monetary stability is everything, though there should be cost burdens," he said. Deficit will be solved if the economic situation, world and domestic, which turned the normal fees to withdraw excess funds will be reduced.
Foreign postal another BiasaFaktor that contribute to the deficit figures, according to Deputy Governor of BI, Ardhayadi M, is no longer posts extraordinary. At the balance sheet in 2006, the report noted suprlus BI deficit to a surplus of Rp 31 trillion, because there are extraordinary amount of Rp 37.9 trillion. "In 2007 there were no more extraordinary that," said Ardhayadi.
Extraordinary item in question, he says, comes from the restructuring of Government Bonds and SU-002/MK/1998 number SU-004/MK/1999, according to the agreement the Minister of Finance and the Governor of BI. "Pos or extraordinary revenues that could cover the deficit of BI 2006 is reached Rp 6.9 trillion," explained Ardhayadi.
Furthermore, notes explaining Ardhayadi burden on the balance sheet liability in the 2007 balance sheet has increased compared to 2006. If there is a decreasing burden is the burden of monetary control, from Rp 32.7 trillion (balance of 2006) to Rp 25 trillion (balance of 2007). "However, the decline is not because it is a decline in the burden, but because of the balance sheet throughout 2006 there was a loan repayment to the International Monetary Fund (IMF), the flowers reach Rp 9.7 trillion," explained Ardhayadi.
Source: republika.co.id
date 21 05 08