BI: DEMAND FOR CASH TO RISE AHEAD OF HOLIDAY

Jakarta, Sept 4 (ANTARA) - Bank Indonesia predicts demand for cash will increase 160 percent reaching Rp54.2 trillion ahead of the post-Islamic fasting month holiday of Lebaran.

The central bank's deputy governor, Budi Rochadi, said at a press conference here on Friday the cash demand would consist of Rp49/5 trillion in Rp100,000, Rp50,000 and Rp20,000 bills and the rest Rp4.7 trillion in bills worth below Rp20,000.

Budi said to meet the increasing demand the bank had doubled cash supply to Rp150.8 trillion from only Rp76 trillion last year.

"Cash supply is increased because of the issuance of new Rp2,000 bill which will certainly become the people's primadona," he said.

Budi said the bank's supply of new Rp2,000 bill reached Rp1.8 trillion.

Due to the increasing demand the Peruri (state-owned money printing company) has operated to its full capacity.

"Peruri has used its maximal capacity of printing Rp600 million worth of bills to meet the need ahead of Lebaran," he said.

Budi said the money had been distributed through its branch offices across the country, general banks and BI teller cars.

"Cash supply in teller cars usually only at Rp300 million a day will be increased to Rp500 million to Rp700 million for Jakarta, Bogor, Depok, Tangerang and Bekasi while for outside Jakarta areas it will reach Rp1 billion," he said.

Most Indonesians are celebrating the post-fasting holiday that falls on September 21 this year. They usually conduct a lot of travels to meet friends and relatives in or outside the city on the occasion.
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