Indonesia Banks

Research evidence excerpt

Indonesia Banks

Nomura Securities Malaysia Sdn Bhd

27 July 2026Indonesia Banks

EQUITY: BANKS

SRBI update: BI holds at 5.75%, in line with our peak-rate thesis Research Analysts

Indonesia Research Team

Tushar Mohata, CFA - NSMQuick Note tushar.mohata@nomura.com

+60(3)20276895Bank Indonesia (BI) left its policy rate unchanged at 5.75% at its 21-22 July meeting,

against marginal consensus tilt expecting another 25bp hike and validating the near-peak Onshore expert

rate view we highlighted last week. Since then, Sekuritas Rupiah Bank Indonesia (SRBI)

outstanding has declined sharply from its June record despite yields remaining elevated, Erwin Wijaya (erwin.wijaya@verdhana.id)

while the first 2Q26 bank result (BMRI IJ, Buy) confirms that NIM pressure persisted into Theonshoreexperts,whoare

the quarter. employedbyPTVerdhanaSekuritas

BI kept the BI-Rate at 5.75%, alongside the deposit facility (DF) and lending facility (LF) at Indonesia(“Verdhana”)andarenot

4.75% and 6.50%, respectively, following 100bp of cumulative hikes in May-June. licensedoutsideIndonesia,have

Governor Perry Warjiyo emphasized a broader policy mix – including expanded FX contributedtothecontentofthis

reportunderapartnershipagreementincentives, liquidity measures, and market-deepening initiatives – rather than relying solely

betweenNomuraandVerdhana.on additional rate hikes to support the rupiah. The currency has remained broadly stable

at ~IDR17,900-17,920/USD since the decision, reinforcing our view that the tightening

cycle is close to its peak, with policy shifting from price-based measures (policy rates and

SRBI yields) toward more targeted liquidity tools.

SRBI outstanding has fallen to IDR933tn as of 24 July from a record IDR1,073tn in June-a