Indonesia's LPS Maintains Deposit Insurance Rate at 3.50%

The Indonesian Deposit Insurance Corporation (LPS) has decided to maintain the guaranteed interest rate for rupiah savings in commercial banks at 3.50%. This decision, made during a Board of Commissioners meeting on Thursday, May 28, 2026, will be effective from June 1 to September 30, 2026.

In addition to the rupiah rate, LPS also set the guaranteed interest rate for foreign currency deposits in commercial banks at 2.00% and for rupiah deposits in People's Credit Banks (BPR) at 6.00%. The corporation cited the limited increase in market interest rates for rupiah and foreign currency deposits, the performance of banking intermediation, banking liquidity conditions, and healthy interbank competition as factors influencing this decision.

This marks the second consecutive period LPS has maintained its guaranteed interest rate, following a previous rate of 3.75%. The deposit insurance coverage ratio remains robust, exceeding the legal mandate of 90% of total customer accounts. LPS stated that the current guaranteed interest rate is considered adequate to maintain public trust and strengthen banking stability.

LPS will continue to periodically evaluate these rates to ensure they align with evolving economic, banking, and financial market conditions. As of April 2026, the number of bank accounts guaranteed by LPS, with deposits up to Rp 2 billion, reached 666.72 million accounts in commercial banks.