Cempaka Business and Economy: Banks starting to lend less, and seeking safety more: BI

"A Summary" – Apr 2, 2011 (Kryon channelled by Lee Carroll) (Subjects: Religion, Shift of Human Consciousness, 2012, Intelligent/Benevolent Design, EU, South America, 5 Currencies, Water Cycle (Heat up, Mini Ice Ace, Oceans, Fish, Earthquakes ..), Middle East, Internet, Israel, Dictators, Palestine, US, Japan (Quake/Tsunami Disasters , People, Society ...), Nuclear Power Revealed, Hydro Power, Geothermal Power, Moon, Financial Institutes (Recession, Realign integrity values ..) , China, North Korea, Global Unity,..... etc.) - (Text version)

"The Timing of the Great Shift" – Mar 21, 2009 (Kryon channelled by Lee Carroll) - (Text version)

“ … Here is another one. A change in what Human nature will allow for government. "Careful, Kryon, don't talk about politics. You'll get in trouble." I won't get in trouble. I'm going to tell you to watch for leadership that cares about you. "You mean politics is going to change?" It already has. It's beginning. Watch for it. You're going to see a total phase-out of old energy dictatorships eventually. The potential is that you're going to see that before 2013.
They're going to fall over, you know, because the energy of the population will not sustain an old energy leader ..."

"Update on Current Events" – Jul 23, 2011 (Kryon channelled by Lee Carroll) - (Subjects: The Humanization of God, Gaia, Shift of Human Consciousness, 2012, Benevolent Design, Financial Institutes (Recession, System to Change ...), Water Cycle (Heat up, Mini Ice Ace, Oceans, Fish, Earthquakes ..), Nuclear Power Revealed, Geothermal Power, Hydro Power, Drinking Water from Seawater, No need for Oil as Much, Middle East in Peace, Persia/Iran Uprising, Muhammad, Israel, DNA, Two Dictators to fall soon, Africa, China, (Old) Souls, Species to go, Whales to Humans, Global Unity,..... etc.)

"The Recalibration of Awareness – Apr 20/21, 2012 (Kryon channeled by Lee Carroll) (Subjects: Old Energy, Recalibration Lectures, God / Creator, Religions/Spiritual systems (Catholic Church, Priests/Nun’s, Worship, John Paul Pope, Women in the Church otherwise church will go, Current Pope won’t do it), Middle East, Jews, Governments will change (Internet, Media, Democracies, Dictators, North Korea, Nations voted at once), Integrity (Businesses, Tobacco Companies, Bankers/ Financial Institutes, Pharmaceutical company to collapse), Illuminati (Started in Greece, with Shipping, Financial markets, Stock markets, Pharmaceutical money (fund to build Africa, to develop)), Shift of Human Consciousness, (Old) Souls, Women, Masters to/already come back, Global Unity.... etc.) - (Text version)

“… The Shift in Human Nature

You're starting to see integrity change. Awareness recalibrates integrity, and the Human Being who would sit there and take advantage of another Human Being in an old energy would never do it in a new energy. The reason? It will become intuitive, so this is a shift in Human Nature as well, for in the past you have assumed that people take advantage of people first and integrity comes later. That's just ordinary Human nature.

In the past, Human nature expressed within governments worked like this: If you were stronger than the other one, you simply conquered them. If you were strong, it was an invitation to conquer. If you were weak, it was an invitation to be conquered. No one even thought about it. It was the way of things. The bigger you could have your armies, the better they would do when you sent them out to conquer. That's not how you think today. Did you notice?

Any country that thinks this way today will not survive, for humanity has discovered that the world goes far better by putting things together instead of tearing them apart. The new energy puts the weak and strong together in ways that make sense and that have integrity. Take a look at what happened to some of the businesses in this great land (USA). Up to 30 years ago, when you started realizing some of them didn't have integrity, you eliminated them. What happened to the tobacco companies when you realized they were knowingly addicting your children? Today, they still sell their products to less-aware countries, but that will also change.

What did you do a few years ago when you realized that your bankers were actually selling you homes that they knew you couldn't pay for later? They were walking away, smiling greedily, not thinking about the heartbreak that was to follow when a life's dream would be lost. Dear American, you are in a recession. However, this is like when you prune a tree and cut back the branches. When the tree grows back, you've got control and the branches will grow bigger and stronger than they were before, without the greed factor. Then, if you don't like the way it grows back, you'll prune it again! I tell you this because awareness is now in control of big money. It's right before your eyes, what you're doing. But fear often rules. …”

Friday, March 13, 2009

Banks starting to lend less, and seeking safety more: BI

Aditya Suharmoko, THE JAKARTA POST, JAKARTA | Fri, 03/13/2009 11:57 AM

Banks are starting to reduce lending and to seek safety in short-term central bank certificates as Indonesia is hit harder by the global economic crisis, says latest BI data.

According to newly released Bank Indonesia (BI) banking statistics, outstanding loans fell to

Rp 1,289.84 trillion (US$107.26 billion) in January from Rp 1,307.69 trillion in December. The total volume of January loans outstanding was the lowest total loan portfolio figure in the last four months.

Placements by banks at BI rose Rp 24.51 trillion to Rp 346.84 trillion in January from Rp 322.33 trillion in December, according to the report.

Of this amount, short-term BI certificates, or SBIs, attracted Rp 208.51 trillion in January, a Rp 41.99 trillion increase on total holdings of Rp 166.52 trillion in December.

Meanwhile, the level of third party funds slid to Rp 1,748.81 trillion from Rp 1,753.29 trillion.

“Companies are slowing their expansion and even those (financial institutions) with loan facilities are putting investment on hold,” said Thauriq Anwar of PT Valbury Securities, as quoted by Bloomberg on Thursday.

(JP/Irma)

The decline in loan channeling has sent out a wake-up alarm call for the economy as companies have less room to expand due to lower demand, and interest required on loans offered by banks is still considered too expensive, despite BI’s recent policy to significantly reduce benchmark interest rates.

While average lending rates have shown a slight decrease between December and March, according to BI, the rates remain unattractive for companies because they are still reorganizing their businesses to anticipate future uncertainties.

This year, BI has cut its benchmark interest rate by 150 percentage points to a near four-year low of 7.75 percent. But banks have yet to follow suit and pass on interest reductions.

Analysts have said lending rates below 13 percent would still keep the economy running at the targeted 4.5 percent economic growth.

BI data reveals only a slight decline in lending rates from an average 14.2 percent in the last week of December 2008 to 13.93 percent by the second week of March, while deposit rates declined from 8.75 percent to 8.32 percent.

President Susilo Bambang Yudhoyono has urged the banking industry to lower lending rates to help drive the economy, which is now relying heavily on domestic consumption and government spending.

Finance Minister Sri Mulyani Indrawati said Wednesday the government had required state banks to initiate steep interest rate cuts.

A lower BI rate is expected to prompt banks to cut lending rates, which will ease business costs and spur demand for loans from consumers to purchase cars, motorcycles and houses.

Since the 1998 Asian financial crisis, around 70 percent of Indonesia’s economy has usually been driven by domestic consumption.

BI deputy governor Muliaman D. Hadad said that in normal times, banks would need two to three months to adjust lending rates to new BI rates.

However, he said banks would have difficulties to immediately lower their rates as they needed to balance their third party funds, interest margins and guard against the threat of soaring non-performing loans.

BI estimated lending growth would slow to between 14 percent and 16 percent this year, compared to 30.5 percent in 2008.

Lending rate rigidity: Should we be worried?

Cempaka Business and Economy

Pages

Friday, March 13, 2009

Banks starting to lend less, and seeking safety more: BI

No comments:

The Jakarta Post: Review/Outlook 2010