What is the current reserve requirement 2022?

The minimum statutory reserve requirement in Rupiah for BUK (Conventional Commercial Banks), was raised to 6.0% in June 1, 2022, and will be set at 7.5% from July 1st, and at 9.0% starting September 1st, 2022. source: Bank Indonesia

Cash Reserve Ratio in Indonesia averaged 6.38 percent from 2009 until 2022, reaching an all time high of 8 percent in September of 2010 and a record low of 3 percent in April of 2020. This page provides - Indonesia Cash Reserve Ratio- actual values, historical data, forecast, chart, statistics, economic calendar and news. Indonesia Rupiah Reserve Requirement - data, historical chart, forecasts and calendar of releases - was last updated on November of 2022.

Cash Reserve Ratio in Indonesia is expected to be 9.00 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the Indonesia Rupiah Reserve Requirement is projected to trend around 6.50 percent in 2023 and 5.00 percent in 2024, according to our econometric models.

No: 2022-24

23 April 2022

In line with its main objective of price stability and in the scope of efforts towards supporting financial stability and encouraging liraization, the Central Bank of the Republic of Türkiye has strengthened its macroprudential policy toolkit and revised the reserve requirement regulation.

As stipulated in Article 4 of the Law No.1211 on the Central Bank of the Republic of Türkiye, one of the fundamental duties of the Central Bank is to introduce reserve requirements on appropriate on- and off-balance sheet items of banks and other financial institutions. With this new regulation, reserve requirements, which used to be applied to the liability side of balance sheets, will also be applied to the asset side of balance sheets in order to strengthen the macroprudential policy toolkit.

In this context, banks’ and financing companies’ TL-denominated commercial cash loans shall be subject to reserve requirements, excluding the following loans: 

  • Loans extended to businesses that are under the scope of SMEs
  • Tradesmen loans
  • Export and investment loans
  • Agricultural loans
  • Loans extended to institutions and organizations, state economic enterprises and their establishments, subsidiaries and affiliates included in tables (I), (II), (III) and (IV) in the annex of the Law No.5018 on Public Finance Management and Control Law 
  • Commercial credit cards
  • Loans extended to financial institutions

Accordingly, it has been decided that:

  • Commercial loans, which have been extended in four-week periods since 1 April 2022, shall be subject to a reserve requirement of 10% of the said loans during the maintenance periods of four-week. 
  • For banks with a loan growth rate above 20% by 31 May 2022 compared to 31 December 2021: the difference between their outstanding loan balances on 31 March 2022 and 31 December 2021 shall be subject to reserve requirements of 20% of this difference, for a period of 6 months. 

Moreover, it has been decided to differentiate FX deposit/participation fund reserve requirement ratios according to the conversion rate of real person’s FX accounts to TRY accounts, and accordingly, based on this conversion rate, it has been decided to implement an additional reserve requirement of: 

  • 500 basis points for banks with a conversion rate below 5%, and
  • 300 basis points for banks with a conversion rate between 5% and 10%. 

This application will be effective from the calculation date of 27 May 2022 with the maintenance period starting on 10 June 2022.

Meanwhile, reserve requirement ratios of financing companies, which were 0%, have now been set at the same level as banks, and their liabilities to domestic banks have been included in the scope of reserve requirements. This amendment will be effective from the calculation date of 29 April 2022 with the maintenance period starting on 13 May 2022.

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For Release

WASHINGTON – The Federal Deposit Insurance Corporation (FDIC) Board of Directors (Board) today issued a notice of proposed rulemaking to increase deposit insurance assessment rates by 2 basis points for all insured depository institutions in order to increase the likelihood that the reserve ratio of the Deposit Insurance Fund (DIF) reaches the statutory minimum of 1.35 percent by the statutory deadline of September 2028. The Board also adopted an Amended Restoration Plan, which incorporates the increase in assessment rates.

“Better to take prudent but modest action earlier in the statutory 8-year period to reach the minimum reserve ratio of the Deposit Insurance Fund than to delay and potentially have to consider a larger increase in assessments at a later time when banking and economic conditions may be less favorable,” said Acting Chairman Martin Gruenberg.

The proposed assessment rate schedules would begin with the first assessment period of 2023 and remain in effect unless and until the reserve ratio meets or exceeds 2 percent.

Extraordinary growth in insured deposits during the first and second quarters of 2020 caused the Deposit Insurance Fund (DIF) reserve ratio to decline below the statutory minimum of 1.35 percent. The reserve ratio is the ratio of the DIF to all insured deposits in the United States. As of June 30, 2020, the reserve ratio stood at 1.30 percent. As required by the Federal Deposit Insurance Act, the Board adopted a Restoration Plan on September 15, 2020, to restore the DIF reserve ratio to at least 1.35 percent by September 30, 2028. The Plan also requires the FDIC to update its analysis and projections for the fund balance and reserve ratio at least semiannually, which enables the FDIC to evaluate whether the reserve ratio is likely to reach 1.35 percent within the 8-year period.

Insured deposits continued to grow and, as of March 31, 2022, the reserve ratio declined by 4 basis points to 1.23 percent. The Amended Restoration Plan and proposed increase in assessment rates intend to increase the likelihood that the reserve ratio will reach the statutory minimum of 1.35 percent by September 30, 2028, as required by statute. The proposal would also support growth in the DIF in progressing toward the FDIC’s long-term goal of a 2 percent Designated Reserve Ratio (DRR).

The proposed rule provides opportunity for public comment through August 20, 2022.

FDIC: PR-49-2022

What is the reserve requirement 2022?

What was United States's Reserve Requirement Ratio in Sep 2022? Reserve Requirement Ratio: Local Currency Demand Deposits: United States was set as 0.0 % in Sep 2022 See the table below for more data.

What is the current required reserve ratio?

3 As of 2022, the IORB rate is 0.10%. U.S. commercial banks are required to hold reserves against their total reservable liabilities (deposits) which cannot be lent out by the bank. Reservable liabilities include net transaction accounts, nonpersonal time deposits and Eurocurrency liabilities.

What percent is the required reserve in the US?

Net transaction account balances above the low reserve tranche were subject to a reserve requirement ratio of 10 percent.

What is minimum reserve required by the law?

Effects on money supply The commonly assumed requirement is 10% though almost no central bank and no major central bank imposes such a ratio requirement. the total reserve ratio (the ratio of legally required plus non-required reserve holdings of banks to demand deposit liabilities of banks).