JAKARTA (Yosefardi) – Bank Indonesia, the central bank, ensures that the banking liquidity is still safe after the government raised the price of fuel prices.

Bank Indonesia will issue some prudent macro policies for maintaining liquidity of banking sector, as attempt to minimize the impact of fuel price hike.

Bank Indonesia also recommends the government to switch the subsidy to agriculture, investment, and small-medium-micro sectors, to become the supporting factors for the sustainability of the national ecnomic growth.

President Joko Widodo has last night announced his decision to raise the price of subsidized gasoline from Rp6500 to Rp8500 per litre or about 30.8% hike and to raise subsidized diesel fuel price from Rp5500 to Rp7500 or about 36.36% hike.