President Commissioner of PT OCBC NISP, Pramukti Surjaudaja, said the government would increase the Electricity Basic Tariff in early July followed by 10 percent and fuel oil will push the inflation rate in the country increased, which in turn will trigger the benchmark interest rate Bank Indonesia could increase by around 0.25 to 0.50 percent.
“Increase in Electricity Basic Tariff (TDL) for 10 percent of which will be subject to public middle to upper will trigger an interest rate (BI Rate) of Bank Indonesia increased by about 0.25 percent to 0.50 percent by the end of this year,” he said after the signing cooperation between NISP, OCBC Bank and Hana Bank in Jakarta, Monday (06/21/2010).
According Pramukti, an increase in TDL were indeed unavoidable in addition to improving performance, PLN will also fix the electrical pipes worn. “But the increase would trigger a TDL in the domestic inflation rate increases. The increase in the rate of inflation is expected to trigger the BI Rate was also strengthened,” he said.
If the increase in the rate of inflation is not so large, he added, the BI Rate is expected to be still at the level of 6.5 percent. “We expect the BI was still at 6.5 percent level, so that bank lending rates which currently range from 11 percent to 12 percent will still survive,” he said.
But if the inflation rate increased quite high, it will also push BI rate moves up and also sparked increased interest bank loans. “The increase in bank credit interest is estimated that only about 0.25 percent to 0.50 percent,” he said.
Pramukti Surjaudaja said, the increase in bank lending rates is estimated to hard to resist, but the increase was probably not immediately. “Banks will adjust it if it costs increase operational costs tend to increase,” he said.
Meanwhile, President Director of PT OCBC NISP, Parvati Surjaudaja said the government would be hard to avoid the rate increase TDL, although the cause of pros and cons. “We believe governments have their own policies on increase in TDL that, although done in a very heavy,” he said.
