Indonesia’s new finance minister unveiled a roughly $12 billion cash injection to stimulate lending, proving his commitment to President Prabowo Subianto’s growth agenda barely two days into the job.
The government will transfer half of the 400 trillion rupiah in cash reserves that it holds with the central bank to state-owned lenders, Finance Minister Purbaya Yudhi Sadewa told lawmakers in a hearing on Wednesday, without giving a time frame. The reserve pile has accumulated due to past underspending, and some should be tapped to support the economy, he said.